Interrupt Latency
Interrupt latency is the time delay between the occurrence of a hardware interrupt and the execution of the first instruction of the corresponding interrupt handler. In high-frequency trading, this delay can be detrimental, as it interrupts the flow of data processing and trading logic.
When hardware devices like network interface cards signal the arrival of market data, the CPU must pause its current task to handle the signal. High interrupt latency means the trading engine is slow to react to new information.
Minimizing this requires optimizing how the kernel manages these signals and ensuring that critical tasks are not preempted by less important hardware events. This is vital for maintaining the competitive edge in electronic markets.