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Apple's 'Flash Crash' Scares the Daylights Out of Investors (Update 2)

Tickers in this article: AAPL
Updated from 12:04 p.m. EST to provide more information on the reason behind the crash in fourth paragraph.

NEW YORK (TheStreet) -- Apple(AAPL) may have given some investors a heart attack Friday when its shares briefly plummeted about 10%.

Come to find out, it was only an erroneous trade, known as a "flash crash."

Apple fell as low as $542.80 before a circuit breaker kicked in, and the stock was halted for reason code T7, according to the Nasdaq. The shares were halted at 10:57 a.m. EST, and resumed trading normally at 11:02 a.m. EST, down only 0.2% to $598.20.

The trade in question appears to be an order placed through the BATS exchange, which ironically, had trouble with its own ticker while going public Friday. Parent company BATS Global Markets(BATS) said in a statement issued at 10:48 a.m. EST, "Please be advised that BATS is currently investigating system issues trading in symbols range A through BF. Will advise."

BATS ultimately had to pull its IPO; although it reopened the affected part of its market where the flash crash occurred.

Apple shares closed the session lower, off 0.55% to $596.05.

Interested in more on Apple? See TheStreet Ratings' report card for this stock.

Check out our new tech blog, Tech Trends. Follow TheStreet Tech on your wireless devices.

--Written by Chris Ciaccia in New York

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