FSA to Order TSE to Submit Report on System Glitch

Economy Politics

Tokyo, Oct. 2 (Jiji Press)--Japan's Financial Services Agency will order the Tokyo Stock Exchange to submit a report on the system failure that forced the exchange to halt transactions in all listed stocks for the entire day Thursday, according to informed sources.

The agency will seek detailed explanations about how and why the glitch occurred, the sources said Thursday.

When the TSE was hit by a system failure in 2005 and again in 2012, the agency issued business improvement orders to the exchange.

"We first want to see whether the TSE's system will surely come back into operation," a senior agency official said, suggesting that the agency will decide on its response based on the TSE's investigation into the cause of the trouble and recurrence prevention measures to be taken by the exchange.

The agency also plans to closely watch whether stock prices will show volatile movements after the trading resumption, the sources said.

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Jiji Press