TORONTO (Reuters) – Canada's largest exchange operator said on Saturday that the failure of data storage devices caused a failure that brought the world's sixth largest stock market to a standstill for several hours on Friday afternoon.
TMX Group Ltd. ( X.TO ), which operates the Toronto Stock Exchange and smaller Canadian trading platforms, said they fixed the error.
"All systems are ready for business on Monday," TMX said in a statement.
The failure has given concerns to investors and financial institutions in Canada and around the world, as such closures are relatively rare. When technical problems occur, stock exchanges tend to switch quickly to collateral systems to avoid disruption to trading.
In this case, a bug in a centralized storage appliance connected to both primary and redundant systems prevented fail-over procedures, TMX said in its statement.
The company replaced a defective memory module, verified the integrity of the data from all affected databases, and successfully launched the start-up validation of the entire trading system, TMX said.
The declaration did not identify the failed device provider, although the failure was not due to a cyberattack.
Canada's last major trading failure occurred almost a decade ago when a data feed system malfunction stopped trading for a full day in 2008, including the small-cap TSX Venture Exchange.
Reporting by Jim Finkle in Toronto; Arrangement by Susan Thomas