#flashcrash 6/5/2010

Press Releases - CFTC

http://www.cftc.gov/PressRoom/PressReleases/pr5912-10

October 1, 2010 Washington, DC – The staffs of the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC) today released a joint report presenting their findings regarding the market events of May 6, 2010. The report will be presented to the Joint CFTC-SEC Advisory Committee on Emerging Regulatory Issues. Twelve days after May 6 th , the staffs of the Commissions released a preliminary report on the events of that day. CFTC Chairman Gary Gensler and SEC Chairman Mary L. Schapiro issued the following statement in connection with the report:

Citigroup TRADING ERROR, Wrong Price For P&G Stock Said To Have Fueled Stock Plunge

The lightning-fast drop in Procter & Gamble's stock price this afternoon may push the markets to unwind some trades, the CEO of the New York Stock Exchange told CNBC today . Duncan Neiderauer spoke to CNBC's Maria Bartiromo and said that the "$39 trade will not stand." (P&G's stock fell from roughly $60 to $39 in the space of a minute, CNBC reports .)

http://www.huffingtonpost.com/2010/05/06/citigroup-trading-error-f_n_566623.html

http://online.wsj.com/article/SB10001424052748704029304575526390131916792.html#project%3DFLASHCRASH_CHART_1007%26articleTabs%3Darticle

AFP/Getty Images A trader on the floor of the New York Stock Exchange looks at stocks during the final minutes of trading May 6, 2010. The eagerly awaited report on the causes of the May 6 "flash crash" portrayed a market so fragmented and fragile that a single large trade could send stocks into a sudden spiral. The report, released by federal regulators on Friday, went further than many in the market had expected by pinpointing one trade by a mutual-fund company as a key contributing factor to the market's plunge.

How a Trading Algorithm Went Awry - WSJ.com

AFP/Getty Images A trader on the floor of the New York Stock Exchange looks at stocks during the final minutes of trading May 6, 2010. The eagerly awaited report on the causes of the May 6 "flash crash" portrayed a market so fragmented and fragile that a single large trade could send stocks into a sudden spiral. The report, released by federal regulators on Friday, went further than many in the market had expected by pinpointing one trade by a mutual-fund company as a key contributing factor to the market's plunge. Regulators say that the firm— which was Overland Park, Kan.

http://online.wsj.com/article/SB10001424052748704029304575526390131916792.html#project%3DFLASHCRASH_CHART_1007%26articleTabs%3Dinteractive

How a Trading Algorithm Went Awry - WSJ.com

http://in.reuters.com/article/2010/10/01/idINIndia-51887520101001

'Flash crash' report not enough to bring retail back | Reuters

NEW YORK | Sat Oct 2, 2010 5:14am IST NEW YORK (Reuters) - Frightened retail investors shunning the stock market are unlikely to find much comfort in Friday's report on the May 6 "flash crash" that sent markets tumbling in a matter of minutes. The report lays out how the crash was kicked into gear by a large trade made by Waddell & Reed Financial Inc, but the existence of the report itself will not alleviate concerns of small investors that they are at a disadvantage to Wall Street's large institutions.