Hmmm. I thought the “error” was just about P&G and the Dow. And how is it the NASDAQ can just “cancel” trades between a certain period? Yes, they say they’ll target only the ones that plunged by 60% or more, yet they’re not applying that rule to all stocks and trades. So, now we’re supposed to believe that the freakish P&G slide, made by a guy with fat fingers or something, also happened to cause the exact same sort of slide over at a completely different exchange?
I think not. I do smell the shenanigans and it stinks of China or Islamists.
Nasdaq OMX Group Inc. said it will cancel trades of 286 securities that fell or rose more than 60 percent from their prices at 2:40 p.m. New York time, just before U.S. equities plummeted.
The Dow Jones Industrial Average plunged almost 1,000 points before trimming its drop and ended down 347.80 points, or 3.2 percent, at 10,520.32. About $700 billion of U.S. stock- market value was wiped out in less than 10 minutes, according to data compiled by Bloomberg.
Nasdaq, which investigated trades between 2:40 p.m. and 3 p.m., said it didn’t find any technology or system issues that caused declines of as much as 99.9 percent in some shares. Citigroup Inc. may have been the firm that made an erroneous trade, CNBC said, citing “multiple sources.” New York-based Citigroup said it found “no evidence” of erroneous trades, and CME Group Inc. said the bank’s activity in CME stock index futures didn’t appear to be “irregular or unusual.” […]
Accenture Plc and Exelon Corp. were on Nasdaq’s list of companies and dropped more than 60 percent as U.S. equities tumbled, before recovering by the close. The list also included some bearish exchange-traded funds that surged as stocks fell.
The decision means that trades in Cincinnati-based Procter & Gamble Co., which slid as much as 37 percent for the biggest intraday drop in the Dow industrials, would stand. The world’s largest consumer products company said stock trades that pushed its shares down were probably an error.
Philip Morris International Inc. of New York, which sank as much as 96 percent to $2, also wasn’t included on the list of companies whose trades would be canceled.
Accenture, the second-biggest technology consulting company, fell more than 99 percent to a penny. All trades executed below $17.74 have been canceled, Bloomberg data showed. The stock closed down 2.6 percent at $41.09.
Exelon, the Chicago-based utility company, plummeted to a hundredth of a penny before closing down 4.2 percent at $41.86.
So, whatever happened with trades in P&G won’t be cancelled, and neither will Philip Morris which sank 96%, but 286 other securities trades will be cancelled.
The Securities and Exchange Commission and the Commodity Futures Trading Commission said they were working with other regulators to review “unusual trading activity.” The major U.S. stock exchanges said they were looking for trading glitches and examining potentially erroneous trades in multiple stocks. Major exchanges said they will cancel erroneous trades that occurred during the selloff.
Yeah, I think there was a fat-fingered guy who chose the wrong consonant for one trade just like there was a middle-aged white guy in Times Square ready to blow everyone up because he was mad at the health care garbage. Mmmm, mmmm, mmmm.