London Stock Exchange halted by computer problem

[CHIMO]

Trading on the London Stock Exchange was halted for more than four hoursafter a technical glitch, leaving share dealers unable to react to a number of key events, including the volatile situation in Libya, results from Lloyds Banking Group and disappointing UK economic growth figures.

The exchange blamed a problem with real time data feeds, the latest glitch to hit its new Millennium trading system since its introduction two weeks ago. After opening at 8 o'clock, share trading was halted at 8.03 and did not restart until 12.15 as the exchange struggled to rectify the problem.

Xavier Rolet, the LSE chief executive, said: "We sincerely regret the inconvenience that today's disruption to trading has caused our customers." But traders were furious with the LSE, which is attempting to push through a £4.5bn merger with Canada's TMX as competition among the world's exchanges heats up. Joshua Raymond, market strategist at City Index, said: "At a time of uncertainty in the markets, where traders are having to keep on their toes with the situation in Libya, the last thing they need is an unexpected halt to trading."

Simon Denham at Capital Spreads said: "It's no wonder that the LSE is losing market share and this is not good PR for the firm. The industry is consolidating as competition between exchanges becomes fierce and glitches like this do not do our flagship exchange any favours."

http://www.guardian.co.uk/business/2011/feb/25/london-stock-exchange-halted