DTCC experienced system issues within its DTC and NSCC night cycle processing on the first day of T+1, Global Custodian has learnt.
The issue was described by sources as having minor impact, and is in line with ‘expected teething issues’ anticipated by the US market infrastructure.
DTCC has issued a notice to market participants that a system issue had occurred, but according to sources at a number of custodians, transactions were still processed in accordance with the DTCC deadlines for settlement.
The processing delays were subsequently resolved.
Following the affirmation process under T+1, trades are sent from DTCC’s ITP service to DTC and NSCC for processing in DTC’s night cycle batch process. The process starts on the evening of trade date at 11:30 PM ET and runs for two hours.
In addition, Global Custodian understands that affirmation rates were 92.76%, topping the DTCC’s target rate of 90%.
Last week, for the week ending 18 May 2024, 87.92% of transactions were affirmed by the DTC cut-off time of 9:00 ET on trade date.
In addition, Global Custodian understands that affirmation rates were 92.76%, topping the DTCC’s target rate of 90%.
Last week, for the week ending 18 May 2024, 87.92% of transactions were affirmed by the DTC cut-off time of 9:00 ET on trade date.
Global Custodian also understands Canadian exchange TMX had some minor system issues on its first night of T+1, which was one day prior to its North American neighbour.
“We experienced some isolated intra day processing delays on Monday, 27 May, and undertook measures to address the issue,” a TMX spokesperson told The TRADE. “All key and critical functions have been operating as normal. CDS continues to prioritise communication with participants during the transition.”