US stock market crash!
According to sources cited by Bloomberg, Nasdaq (NDAQ. O) experienced a system error on Wednesday local time, affecting thousands of stock orders and resulting in some orders being cancelled. In January of this year, the New York Stock Exchange (NYSE) also experienced human error, resulting in thousands of trades being cancelled. It is worth mentioning that the US stock market surged last night, with the S&P 500 reaching a new high for the year.
Tesla has also encountered significant negative news. After federal safety regulators raised safety concerns, Tesla will recall over 2 million vehicles in the United States to install new protective measures in its Autopilot advanced driving assistance system. This is Tesla's largest recall in history and may cover almost all vehicles on American roads to better ensure drivers are focused when using the system. Affected by this news, Tesla's stock price fell nearly 4% at one point on Wednesday.
Watch the report!
NASDAQ makes a major mistake
According to insiders, Nasdaq experienced a system error on Wednesday, affecting thousands of stock orders and resulting in some orders being cancelled. According to insiders, the operator of the exchange told market participants that it is investigating the issues that led to order input errors and delays. According to insiders, Nasdaq's electronic communication channels for handling so-called financial information exchange or "FIX" messages have been affected.
NASDAQ stated in an email statement that the incident began around 2:30 pm New York time on Wednesday and involved "certain FIX/RASH order input ports," but did not specify the reason.
The statement stated, "We are working hard to reach a solution as soon as possible to provide the correct execution report." The affected ports of entry will be closed for the remaining time of the day. It added, "The closing cross has been completed, and all other markets are operating normally."
In January of this year, the New York Stock Exchange had a similar problem. At that time, two-thirds of the New York Stock Exchange listed securities began trading without holding auctions to determine the opening price, leading to sudden fluctuations in many blue chip stocks and widespread confusion among traders. The exchange subsequently cancelled over 4300 trades for 251 different stocks.
At that time, AT& The stocks of large and well-known companies such as T and Wells Fargo Bank experienced significant increases or decreases at the opening, and trading stopped a few seconds later. A total of 84 stocks hit the limit up, aimed at preventing securities from trading at extreme prices. 81 stocks, including Morgan Stanley and Snap, mistakenly implemented short selling restrictions.
The New York Stock Exchange stated at the time that the root cause of the problem was a manual error involving a "disaster recovery configuration" aimed at maintaining the operation of the exchange during times of crisis. In 2014, regulatory authorities introduced new regulations to crack down on exchange technology failures, and four years later, the New York Stock Exchange became the first company to be fined under this regulation. This time, if Nasdaq encounters problems again, it may not be possible to avoid punishment. It is worth noting that the last accident also occurred during an upward trend.
Tesla's largest recall in history
In addition, Tesla has also encountered significant negative news.
According to the official website of the National Highway Traffic Safety Administration, Tesla will recall over 2.03 million vehicles in the United States due to defects in its autonomous driving assistance system. This may be Tesla's largest recall in history, seemingly covering almost all vehicles on American roads to better ensure drivers are focused when using the system. Tesla's recall documents state that the software system control of the autopilot may not be sufficient to prevent driver misoperation and may increase the risk of collision.
The National Highway Traffic Safety Administration (NHTSA) spent over two years investigating whether vehicles produced by electric vehicle manufacturers led by Elon Musk were sufficient to ensure driver concentration.
NHTSA Acting Director Ann Carlson praised Tesla for agreeing to the recall. "One thing we are certain of is that drivers are not always focused when the system is turned on," she said at a hearing in the US House of Representatives
Carlson stated that the agency launched a safety investigation in August 2021, during which she constantly heard of fatal accidents involving the use of autopilots. "My first reaction was, 'We must take action on this,'" she said.
In addition, Transport Canada has stated that Tesla will recall 193000 vehicles to address the Autopilot issue. It is currently unclear whether China will demand a recall.
NHTSA has been conducting an investigation for a long time. In June 2022, NHTSA upgraded its early investigation of 830000 Tesla cars to engineering analysis - a necessary step before potentially requiring a recall; In July of this year, NHTSA requested Tesla to provide the latest response and current data in its investigation. Previously, NHTSA once again requested Tesla to provide more information on the safety of autopilots. On July 26th local time, NHTSA issued a special instruction to Tesla to modify the driver monitoring system of its autonomous driving software. In this special directive, NHTSA expressed concern about a change by Tesla that allows drivers to use the autopilot for extended periods of time without turning on the steering wheel to apply torque prompts.