Euronext Amsterdam hit by more technical problems

Euronext Amsterdam, the Dutch arm of the pan-European cash and derivatives exchange, halted derivatives trading for three and a half hours today due to a network problem. A Euronext spokesman was not able to elaborate on the matter, although he said all trades executed prior to the stoppage time of 10.15am Central European time were carried over once trading restarted at 1.45pm.

Today’s stoppage is the latest in a series of technical hitches to have hit Euronext Amsterdam in recent months.

The exchange, which last November began the migration from floor to screen-based trading, has had four stoppages lasting over an hour apiece since last November. Euronext’s spokesman said the exchange plans to finish its move to electronic trading by December and acknowledge that some exchange members may be unhappy with the glitches.

Euronext’s technical problems come against a backdrop of cost cutting as the exchange has sought to deflect criticism on the merging of its different European businesses. Following its acquisition of the London International Financial Futures and Options exchange (Liffe) last year, Euronext said it would move from its current Switch system to the Liffe Connect trading platform. The Dutch arm of Euronext will move from floor to screen trading by the end of this year and eventually shift to Liffe Connect sometime in late 2003, said the spokesman.