Nasdaq fixes tech issue which delayed premarket trading for almost two hours

Almost two hours after premarket trading at the American stock exchange continued to struggle, Nasdaq announced on Monday that it had fixed the technical problem pertaining to connectivity.

This was the second such technological hiccup the company had experienced in recent months. The New York stock exchange withheld information regarding the issue’s seriousness. The problem began, based on the exchange’s website, at approximately 4:55 a.m. ET.

“The Nasdaq stock market has resolved its earlier matching engine issues and all systems are operating normally,” the company said on its website, after solving the issue.

Thousands of stocks of significant corporations, such as Apple, Tesla, and Nvidia, are traded on the Nasdaq stock exchange. These companies include manufacturers of electric vehicles, iPhones, and artificial intelligence semiconductors.

Risk of technical issues affecting stock exchanges

A problem at the New York Stock Exchange last year impacted many equities’ opening auctions. The extensive halts in trading were caused by a technical problem. The problem worsened when orders were filed at incorrect pricing, causing confusion.

According to Reuters, the Monday bug made it difficult to send orders using the “RASH FIX” order management system. A communication system called FIX, or Financial Information Exchange, specifies an electronic message exchange for sharing securities transactions between two parties.

After the more than two-hour-long issue, Cboe and the listing-specialist Arca Equities of the New York Stock Exchange filed a self-help statement against Nasdaq of exchange-traded products.