The $ 58 billion flash crash that mystified traders

"The magnitude of the fall in prices was certainly out of the ordinary, a question that cast doubt on the fact that this really happened," said Jingyi Pan, market strategist at IG Asia Pte in Singapore.

"The rapid movements that took place in the early hours of the opening of the market could have allowed it to disappear."

Loss of badfeeding

Three market makers suffer sales losses in the wake of the fall, while more than a dozen counterparties have bought the cheapest shares for an instant profit, according to a knowledgeable person who would have asked not to be named because they were not allowed. speak publicly about the issue.

The exchange does not allow sellers to get out of the deal. They had "ample time" to withdraw their orders if they did not want to unload cheap shares, SGX said after reviewing the incident and decided not to cancel the transactions.

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"Apparently, there is a lack of protection mechanism during the hours preceding commercialization," said Margaret Yang, strategist at CMC Markets Singapore Pte. Ltd.

"The lack of liquidity at Jardine Matheson has magnified the price movement, and this is a common problem in Singapore's stock market."

Jardine is aware of an electronic trading mistake, said Jessie Tsui, a spokeswoman for the conglomerate, by email prior to SGX's statement.

The Jardine Matheson Group, founded in July 1832 in China and run by the Keswick family, was one of the "hongs" or trading houses that shaped Hong Kong's development for more than a century. After transferring its list from Hong Kong to Singapore, the group gradually moved to Southeast Asia. It also has investments elsewhere, including in Rothschild & Co.

The conglomerate's units run a wide range of businesses, ranging from Pizza Hut restaurants in Asia to hotels and Mercedes-Benz dealerships in the region. The group, also known as Jardines, has generated more than $ 83 billion in revenue and an underlying profit of $ 1.57 billion in 2017, according to its website.

The group, with more than $ 82 billion in badets, is the largest owner of Hong Kong's central district, the world's most expensive market in the office sector, where it holds the Mandarin Oriental Hotel. He also owns the Excelsior Hotel on Lot 1, the first auctioned property in Hong Kong in 1841.

Bloomberg