Thursday, May 6, 2010

Whoops? Maybe? Don't Believe It.

There are rumors that a computer error caused the market to drop more than 1000 points intraday.
Looks like:

1- Someone at a PD incorrectly entered a huge order to sell PG way below the market. Proctor was trading at above 60 and the order was placed in the high 30's.

2- Instead of entering an order for $16MM - An order for $16B was incorrectly entered. We don't know what type of order? Stock Index Futures? Basket?

This happened a few years ago at Morgan Stanley when an order clerk incorrectly entered a huge order that caused the market to take a dive.
He soon was fired and he currently works for CNBC producing skits.

All of this sounds very fishy.
Will have more real soon.

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