Suspected fire in server hall stops Nasdaq trading in Nordic region

Jonathan Boyd
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Suspected fire in server hall stops Nasdaq trading in Nordic region

A fire alarm and possible fire in a server hall in Upplands Väsby, a commuter town near Stockholm, has managed to shut down trading in equities and fixed income instruments and commodities across multiple stock exchanges in the Nordic and Baltic region.

The shutdown has affected exchanges in Stockholm, Helsinki, Copenhagen, Reykjavik, Riga, Talinn and Vilnius that are operated by the Nasdaq OMX group. Bloomberg has reported that the shutdown has not affected trading in equities on the Oslo bourse, which is not operated by the group, although Sveriges Radio has reported that trading in commodities in Oslo has been affected.

This is not the first time that the Nasdaq OMX group has suffered a serious collapse in its systems. Five years ago, in August 2013, trading ceased for over three hours on the Nasdaq market in the US, affecting trading of some 3,200 stocks listed there, including many of the world’s biggest companies, such as Apple, Facebook and Google. Then, the US Securities and Exchange Commission called a meeting to ensure better commitment to market continuity.

So far there has been no official statement from the Swedish Financial Supervisory Authority, Finansinspektionen, about the ongoing situation.

Traders across the region have been severely critical of the outage, noting that luckily it has happened on a relatively calm day of trading across the broader European region.

Lauri Rosendahl, president of Nasdaq Nordics and Nasdaq Stockholm and senior vice president of European Cash Equity and Equity Derivatives within Global Transaction and Market Services, has been cited by Swedish business daily Dagens Industri this morning as noting it does not look like an actual fire broke out in the facility affected, but that an automatic fire response mechanism has kicked in, which in turn has damaged equipment.