Due to a technical glitch that occurred on Monday, the New York Stock Exchange (NYSE) displayed a significant drop of nearly 100% in the price of Berkshire Hathaway Class A shares, causing market confusion. This unexpected plunge led to the temporary suspension of trading for several stocks.
On Monday morning, investors discovered that the price of Berkshire Hathaway Class A (BRK.A) showed a drop of nearly 100%. This erroneous price display was a result of an internal technical glitch in the NYSE trading system.
In addition to this technical problem, it also affected the stocks of Barrick Gold and NuScale Power, which experienced severe and unexpected declines. As a precautionary measure, NYSE suspended trading for these stocks to prevent further market chaos and potential financial losses for investors.
At 10:11 AM Eastern Time, NYSE issued an update stating that they were investigating the root cause of the technical issue. The problem was related to the limits set for trading halts in cases of excessive stock volatility. These mechanisms are crucial for maintaining market stability, but the malfunction led to incorrect price drops.
Before the trading halt, the trading volume for Berkshire Hathaway Class A (BRK.A) was less than 4,000 transactions, indicating that the issue was quickly identified and addressed.
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