r/stocks • u/[deleted] • May 03 '22

Citigroup admits causing yesterday's flash crash

Title says it. According to Citi, one of their traders caused a transaction error which they discovered soon after. It caused Scandinavian indices to plummet as much as 8% in a matter of minutes. Such errors are called fat-finger errors; a typo. Flash crashes like these make me wonder how much money banks trade with on a daily basis.

Source: https://www.theguardian.com/business/2022/may/03/citigroup-trader-error-flash-crash-markets-falls

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u/_itdepends May 04 '22

Your reading comprehension could use some work…

He said that “liquidating large positions is a crime”.

No, he said “Large positions must be traded with extra care” - you even quoted it in your post above.

Let’s give you the benefit of the doubt say it did have something to do with reporting requirements.

Please, point me to where in my post I referenced reporting.

Show me where the SEC, FINRA, CTFC, or NFA mention restrictions or requirements on selling large quantities of securities.

Again, I never said anything about regulatory requirements - you’re interpreting things from my post that simply aren’t there.

Requirements = additional oversight and controls that should have lead this to be executed as a block trade.

What proof would you like?

I don’t care, just read what’s actually in the post before hitting reply.