Nanex ~ 30-Oct-2013 ~ ISE Option Outage
Update: The ISE issued
this press release later in the day.
On October 30, 2013, the ISE options exchanges (ISEX and Gemini) had 2 outages at the
same time. Maybe now would be a good time to bring up the fact that option quoting has
spun out of control. Take a look at these metrics. When there
are 600,000 option quotes from one stock in 1 second, and few trades, there is a serious
price discovery issue for everyone processing option data. Maybe that is why the ISE
failed this morning.
1. Chart of all equity and index option trades color coded by reporting exchange between 9:35 and
10:12 on October 30, 2013.
Chart only shows prices between 0 and 100 for clarity. Bottom panel shows number of
trades in each 2 second interval.
2. Charts of trades from just one options exchange.