Tongyang Steel Pipe, a manufacturer of steel pipes, is showing a strong increase of over 6% in the early trading on the 19th. After trading was halted due to a system malfunction the previous day, Tongyang Steel Pipe recorded the upper limit price (the upper limit of the daily price restriction) following the resumption of trading and continues to show an upward trend today.
As of 9:12 a.m. on this day, Tongyang Steel Pipe is trading at 1,196 won, up 77 won (6.88%) from the previous trading day.
According to the Korea Exchange, a delay occurred in the transaction execution system for securities market items starting at 11:37 a.m. the previous day. The cause of the error during trading was due to a conflict between the existing self-transaction prevention conditions (SMP) execution logic of Tongyang Steel Pipe's item and the introduction of intermediate price quotes.
Seven minutes later, at 11:44:16 a.m., the exchange execution system was restored and price quotes were accepted normally; however, the refusal phenomenon of Tongyang Steel Pipe's quotes continued, leading to a halt in transactions from 12:05 p.m. to 3 p.m. Once stock trading resumed, it was completed at the upper limit price.
Some observers noted that the system malfunction unexpectedly attracted investors' attention. Tongyang Steel Pipe successfully turned to a profit with operating income of 4.8 billion won last year from an operating loss in 2023, and during a period of about three hours without trading while the stock price was rising the previous day, buying orders concentrated toward the end of the trading session.
Recently, Tongyang Steel Pipe has seen its stock price fluctuate dramatically as the steel pipe sector gained attention related to liquefied natural gas (LNG) development projects in Alaska, USA. Some investors reacted in the stock discussion forums, saying, "The transaction error occurred due to the influx of buying pressure into Tongyang Steel Pipe the previous day," and "It's so impactful that it could stop the market; isn't it a leading stock with a system malfunction?"