Mar 2, 2020 - Economy & Business

Robinhood reports outage as markets rebound

A close-up of Robinhood's logo

Photo: Smith Collection/Gado/Getty Images

Robinhood, a free-trading investment management app, said it experienced an outage as U.S. markets opened on Monday, Bloomberg reports.

Why it matters: The outage cut Robinhood users out of Monday morning's stock rebound of more than 2%, the first gain in eight sessions.

  • The company said in December 2019 that it has around 10 million users, according to CNBC.

What they're saying: Unable to make trades, clients criticized the platform on social media.

  • “We are experiencing a system-wide outage," the company said in a message to clients, according to CNBC. "We are working to resolve this issue as soon as possible."

Our thought bubble, via Axios' Jennifer Kingson: Many Robinhood customers are new to investing and may never have experienced market losses of the sort they may have suffered in the last several sessions.

  • Volatility tends to cause spikes in trading activity, making today a particularly bad time for the platform to go down.

As of noon ET, users were still reporting difficulties with the site on social media.

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