Biznes Fakty
The Warsaw Stock Exchange has suspended trading. GPW announcement
On Monday, the Warsaw Stock Exchange (WSE) halted trading for an hour. In a statement, it was noted that this decision was made due to „an unprecedented volume of brokerage orders since the session commenced, which could potentially disrupt the stability of the system.”
At the conclusion of the trading session at 5 p.m. on Monday, both primary indices – WIG and WIG20 – experienced a decline of nearly 1.5 percent. WIG decreased by 1.47 percent to 87,727.11 points, while WIG20, which comprises the 20 largest and most liquid companies, fell by 1.49 percent to 2,431.32 points.
Prior to the trading suspension, WIG20 had declined by 2 percent, reaching 2,418.2 points. At the session’s opening, WIG20 started at 2,357.87 points, indicating a drop of 4.6 percent from Friday’s closing figure of 2,467.99 points.
WIG – quotes 7 April 2025 stooq.plEarlier, GPW announced a trading suspension across all markets for one hour from 15:15 to 16:15 due to trading security concerns. Concurrently, the release of stock exchange indices was paused until 16:30.
GPW suspended trading. Announcement
„The temporary halt in trading on April 7, 2025, was prompted by a record number of brokerage orders since the start of the session, which could have jeopardized the stability of the trading system,” GPW stated on its website.
It further explained that „the volume of operations on brokerage orders surpassed the average by over 300% and was 40% higher compared to the session on April 4, 2025.”
It clarified that „this is an operational measure consistent with the established protocols of the Warsaw Stock Exchange.”
„We are currently witnessing significant market volatility, though historically there have been sessions with even greater price swings. However, we encountered an exceptionally high volume of incoming and modified orders, exacerbated by the activity of algorithmic trading strategies,” the release noted.
Expert on the suspension of quotations on the Warsaw Stock Exchange
– The likely reason for the stock exchange halting trading at the start of the U.S. session – commented Piotr Kuczyński, a financial analyst, on TVN24.
He added that if this is indeed the case, „the intention would be to prevent individuals from selling their shares impulsively.” – However, the WIG20 index dropped six percent on Friday, and no one halted any quotations – he remarked.
– Occasionally, stock exchanges will cease trading when indexes experience substantial declines, but only for a brief period. This is aimed at allowing investors to regain their composure. It’s true, it does happen – he stated.
At 3:30 p.m., the New York Stock Exchange commenced trading. Following the opening, the DJI fell by 3.3 percent, the S&P 500 by 3.44 percent, and the Nasdaq Composite dropped by nearly 4 percent. The indices managed to recover their losses in the subsequent hours, and by approximately 5:30 p.m., the Dow Jones was down only 1.1 percent, the S&P 500 lost 0.7 percent, and the Nasdaq was down less than 0.2 percent.
During two sessions last week – on Thursday and Friday – WIG20 fell by a cumulative total of over 10 percent, with WIG dropping by more than 9 percent.
