Traders in the $26 trillion Treasury market are still finding it hard to settle trades more than a day after a cyberattack on ICBC.
The Federal Reserve said on its website that a “service issue” is impacting the Fedwire Securities service, which handles settlements for US Treasuries. The central bank will continue its service for “BNY Mellon Customer” until 4:30 p.m. in New York, it said.
A similar service issue was reported yesterday. At the time, bond-market participants were grappling with a hack on ICBC. That issue was reported resolved by the Fed overnight.
The Fed did not immediately respond to a request for further comment on whether the latest service issue is related to ICBC’s attack.
Non-delivery of US debt pledged as collateral surged on Thursday as both the repo market and Fedwire settlement system stayed open late to try to minimize the impact of the hack.
