India's NSE defends communication over exchange shutdown
Traders and brokers had criticised the NSE over the lack of information after the four-hour shutdown on Wednesday, saying it had hurt investors
India's National Stock Exchange (NSE) on Friday defended its communication over the reopening of the bourse after an unexpected shutdown this week.
Traders and brokers had criticised the NSE over the lack of information after the four-hour shutdown on Wednesday, saying it had hurt investors.
Because the exchange did not swiftly update on when the exchange would reopen, brokers began closing intra-day equity positions on another exchange, leading to sharp losses for some investors.
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The NSE had announced that the exchange had shut at 11:40 a.m. local time because of a telecoms problem. It announced market re-opening at about 3:17 p.m., by which time many brokers had closed their investors' open positions.
"This communication was done only after there was visibility and clarity on resumption of services and any prior communication would not have been appropriate," the NSE said in a statement on Friday.
