The London Stock Exchange is currently investigating a potential trading services issue it said in a statement. A high open had been predicted for the FTSE on Friday, however, the index has not opened. On Thursday, the blue-chip index hit a six-month low, as concerns about the world economy grew in line with the escalations of the US-Chine trade war.
Over 30 days the index is down more than 6.7 percent but is still up more than 5 percent since the beginning of 2019.
London Stock Exchange said in a statement on Friday a “potential trading services issue” caused it to delay the opening of both FTSE 100 and 250 stocks.
Companies in those benchmarks include BP Plc, AstraZeneca Plc, HSBC Holdings Plc and Tate & Lyle Plc.
The group said in an update around 10 minutes prior to the market opening it was “investigating” the issue.
At 8.02am, after the scheduled opening time, it announced to markets the open of securities listed on the two flagship indices would be “delayed.”
This is the second time in 14 months the FTSE has faced a delayed open, and in June 2018 an hour-long blackout hit the index.
The blackout was caused by a software issue, and was the first to impact the FTSE in seven years.
Klaudius Sobczyk, a fund manager at PEH Wertpapier AG in Frankfurt told Bloomberg: “The market is at the moment in a very delicate stage.
“Should the market fall or rally strongly and the stock exchange is still shut, this would be a terrible development for active traders/investors.”
There will be a further update from the London Stock Exchange at 9.15am.
Marc Ostwald, global strategist and chief economist at ADM Investor Services International told CNBC: “One of those things that are not that infrequent, first since June 2018 for FTSE100; if there are any sharp moves elsewhere then it might prompt the odd spikey move when it does open, but that is just a function of sorting out imbalances.”
This is a breaking story, more to follow