Read a text why the pound instantly collapse actv

Read a text: why the pound instantly collapse? The beauty of the morning, the market did not pound the instant collapse, find the exact cause, but there is speculation come in a throng. Some analysts believe that the pound against the U.S. dollar may be due to the occurrence of fat fingers, or the subsequent emergence of a large number of stop orders or options to bring a single throw, there are traders blamed on the failure of the transaction algorithm. Traders also said that in the absence of trading volume, the convergence of 8 foreign exchange dealer quotes platform for up to 30 seconds without any quotes. Let’s review what happened today. Beijing time on October 7th at 7:04, the pound against the dollar plunge, Bloomberg said, within a few seconds or more than 6.1%, intraday low of 1.1841, the lowest since March 26, 1985, the biggest decline since June hit Britain off the European referendum results were announced. However, Reuters said the day low hit 1.1378. This calculation, the pound fell more than 1200 points against the dollar, down to 10%. Text with map. Why the pound is now flash collapse? Although it is not clear exactly why, but Bloomberg summarized some possible explanations: MITSUBISHI UFJ trust bank foreign exchange and financial products trading chief manager Toshihiko Sakai said the dollar yen or Euro dollar volatility is not so big, the pound against the dollar collapse may arise because of fat fingers, and then there’s a lot or stop instruction the single throw or option. "It looks as if there is a shortage of liquidity, and there are a lot of pounds selling orders," said Kyosuke, director of foreign exchange and money markets, Suzuki, Societe generale. Others believe that the large scale action on the pound is partly due to the failure of traders to set the option to limit the line. Traders usually place their most recent orders at spot prices near 100, which is about a quarter of a pound’s worth before the collapse of the market by about 1.26. Some traders said that with the disappearance of liquidity, the pound accelerated decline, while traders no longer accept orders. A trader told Bloomberg that in the absence of trading volume, the convergence of 8 foreign exchange dealer quotes platform for up to 30 seconds without any quotes. In addition, traders said, OTC on the market a large number of options prices in 1.25 and 1.20 near the trigger, traders think they missed pay lower position, investors the option of OTC market concentration over short brought 500 points big rebound later. Enter the Sina financial stocks] discussion相关的主题文章: