MCX Suffers System Outage, Delays Gold and Silver Futures Trading Once More

In its fourth update, released 28 October’s morning, the Multi Commodity Exchange (MCX) advised market players that a technical problem has delayed the start of trade. Although it did not provide a new start time, the exchange stated that trading would start from its Disaster Recovery (DR) site.

It further stated that participants would be informed in due time of the revised start time. Updated at 10:20 a.m. A technical problem has caused a delay in the start of trading. The DR site will be the starting point for trading. Market participants will be notified when trading will begin. “We apologise for any inconvenience,” MCX said on its official website.

Exchange Keep Changing the Timings

The exchange had previously told customers that trading would begin at 9:30 AM, but it then changed that to 10:00 AM and then to 10:30 AM. In an early post on social networking site X, low-broking stockbroking platform Zerodha said that the precise timing for MCX trading to resume has not yet been confirmed.

In their article, Zerodha stated that the MCX opening has been further delayed. The updated timing has not yet been verified. “As soon as an update is available, we’ll share it.” The conversation affirmed that operations would resume from its Disaster Recovery (DR) site, a backup infrastructure intended to guarantee business continuity in the case of outages at the primary site, even if it did not go into detail about the specifics of the malfunction.

This is not the first time that MCX has encountered this problem. A similar technical issue caused a delayed market opening earlier in July of this year, with trading starting over an hour past the 9:00 AM planned time. A phased resumption was indicated by the numerous notices that MCX had sent out during the morning at that point. The first stated that trading will return by 9:45 AM, then it was revised to 10:10 AM, and eventually it started operations at 10:17 AM.

This is not the First Time for MCX

MCX experienced a significant issue in February of last year that resulted in a four-hour operational halt. Its switch to a new trading platform was thought to be the cause of the problem. Both domestic and foreign markets saw a decline in the price of gold and silver on October 27.

The December silver futures contract dropped 2.78% to INR 1,43,367 a kilogramme, while the December gold futures contract closed at INR 1,20,957 per 10 grammes, down 2.02%. Precious metals’ decline came as U.S.-China trade tensions eased, which reduced demand for safe haven assets. Investor interest in gold and silver was further dampened by an impending meeting between the presidents of the United States and China, which is anticipated to conclude a trade agreement.