Robinhood, the cost-free-investing pioneer favored by younger traders, explained it was suffering from an outage Monday.
“We are going through a method-vast outage. We are performing to take care of this difficulty as shortly as feasible,” the company mentioned in a information to customers Monday.
The technical challenges occur amid the market’s attempt at a rebound from the worst week for stocks since the monetary disaster fueled by investor stress bordering the quickly-spreading coronavirus. All three significant averages opened larger on Monday, immediately after closing in correction territory previous 7 days, down at the very least 10% from their most new high. The Dow Jones Industrial Average very last traded up 650 factors.
The Silicon-Valley get started-up acquired recognition with young traders by offering free of charge inventory trading in 2013. The Menlo Park, California-centered corporation reported in December that it has 10 million consumers on the platform.
“Your portfolio details is not readily available proper now. Remember to examine back again afterwards,” read a Robinhood concept to shoppers posted Monday on Twitter. Many other tweets confirmed the app with a blank, white monitor.
News of Robinhood’s outage came a 7 days following Fidelity and Charles Schwab stated they had complex problems amid an 800-place plunge by the Dow Jones Industrial Ordinary. TD Ameritrade also claimed some of its shoppers ended up encountering complex troubles at that time very last week.
One element potentially contributing to these platforms’ complex troubles could be increased-than-average trading volumes. Last 7 days, the SPDR S&P 500 ETF Rely on (SPY) traded far more than 200 million shares three moments. On Friday, shares of the ETF modified fingers a lot more than 385 million periods. All those numbers are properly higher than the SPY’s 30-working day average quantity of 97.3 million shares.
Robinhood kicked off a wave of charge slashing in the broader brokerage field with Charles Schwab, TD Ameritrade and Fidelity dropping fee fees late final yr.
“We are going through downtime, and are performing to take care of this as promptly as achievable,” a Robinhood spokesperson advised CNBC.
The company’s twitter account devoted to consumer assistance also dealt with the outage.
“Our procedure is enduring downtime difficulties that are affecting all functionalities on our platform. We are mindful of the issue and are functioning to have all systems up and jogging as shortly as we can. We’re so sorry this is going on!,” the tweet claimed.
— With reporting from CNBC’s Fred Imbert and Kate Rooney.
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