Fwd: NYSE Trading Halt Triggered by 'Network Storm'

Thu Jun 2 20:18:23 UTC 2005

I dont want join the ranks of conspiracy theorists, but i must point  
out the coincidence that this minor digital "spanking" occurred exactly  
at the same time the NYSE members (folks whom own seats on the  
exchange) filed suit to block NYSE's proposed merger with electronic  
trading firm Archipelago Holdings Inc., saying the deal is unfair to  
exchange members.

The members feel the old "manual" way of doing trades (where they get a  
cut of every transaction) is best and that they dont need the  
electronic trading. ---   In fact one of their contentions is that the  
online system is not foolproof and prone to being compromised or  
disrupted by terrorists etc. ...and get this -- that they are the only  
ones -- in face to face trading -- that can give a "fair" transaction  
---

here is the article on the members trying to block the merger:
http://www.washingtonpost.com/wp-dyn/content/article/2005/05/09/ 
AR2005050901325.html

Begin forwarded message:

> Trading resumed normally at 9:30 a.m. Thursday.
>
> In a statement, the NYSE blamed the system failure, which suspended  
> trading at 3:56 p.m., on a communication problem. In an interview  
> Thursday with cable-news channel CNBC, NYSE CEO John Thain said the  
> problem was caused by a "network storm" in which "an error message was  
> created and then duplicated millions of times," overwhelming both the  
> system's primary and backup network routers.
>
> [snip]
>
>
> http://www.informationweek.com/story/showArticle.jhtml? 
> articleID=163703141