The confirmation of two cases of coronavirus (Covid-19) among their people, NYSE shuts down its human trading floor. The exchange operator of NYSE is yet to disclose when the trading floor will be reopened following the shutdown.
The closure may lead to problems
As the NYSE platform remains closed, there may be complications on the platform. This problem will be due to the volatility of its trading venue. The shutting down of this platform will be effective from Friday, and the trading venue starts on Monday.
NYSE confirms that they will shut down the trading platforms at NYSE American, San Francisco, and New York trading options until further notice.
NYSE is the third-largest US exchange platform to close its human trading floor due to the outbreak of Covid-19. Since September 2001, this platform has never experienced an unscheduled shutdown till now.
Taking precaution to control the Covid-19 spread
While Stacey Cunningham, the president of NYSE, was commenting on the shutdown, he said that their platform is strong enough to operate on an electronic level. He added that they are going to maintain it at this level until it is safe for them to open the trading floors again for their members.
This will be to make sure that they prevent the spread of the virus. They had prevented the entry of their members, VIPs, and executives into their trading floor. However, they had to completely shut down the floor when one of their staff and a trader (member) were tested positive to this virus.
NYSE has never shut down since 2012 during Tornado, even during crises. This has become worrisome to traders and investors who have faced various trading terminations this month. NYSE president says that necessary precautions are put in place to make sure that the electronic market remains open and available to members.