NEW YORK, Dec 19 (Reuters) - The New York Stock Exchange said on Friday it will cancel some trades in the shares of retailers Nordstrom Inc and American Eagle Outfitters Inc, because a system problem at a client broker led to 'erroneous' orders.
The NYSE, operated by NYSE Euronext, had also been investigating unusual prices in the shares of Potash Corp of Saskatchewan and Corrections Corp of America , but decided those trades would stand.
An internal NYSE panel ruled that all trades in Nordstrom, below $11.86, which took place between 9:41 a.m. and 9:44 a.m. EST (14:41 GMT and 14:44 GMT) on Friday would be canceled.
Further, all trades in American Eagle Outfitters, below $9.16, between 9:38 a.m and 9:39 a.m. EST will be canceled, NYSE's Clearly Erroneous Execution panel said.
'The erroneous executions appeared to have been caused by a system problem at a customer,' said NYSE spokesman Ray Pellecchia, who declined to name the broker involved.
Pellecchia said there was no trading disruption, and market manipulation is not suspected. He did not immediately provide an estimate for the number of trades to be canceled.
Nordstrom shares were down 5.2 percent at $12.72, while American Eagle share were off 4.1 percent at $9.84 in late afternoon action on the NYSE, which is the world's biggest equity market by the capitalization of its listings.
(Editing by Gerald E. McCormick, Leslie Gevirtz) Keywords: NYSE/TRADING REVIEW (jonathan.spicer@thomsonreuters.com; +1-646-223-6253; Reuters Messaging: jonathan.spicer.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2008. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
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