SEC To Say Flash Crash Caused By Rogue Trade At Waddell

Some leaks are coming from the Securities and Exchange Commissions report on the flash crash, and the report says a single rogue trade from Waddell & Reed Financial, Inc. WDR caused the flash crash according to Reuters. Waddell & Reed will not be named in the report cited the souce, who requested anonymity due to the report not being public yet. Waddell had sold a large order of e-mini futures contracts during the crash, which led to the Dow dropping nearly 700 points in a matter of minutes, before eventually recovering. In order for the report to be released, a majority of the 10 SEC and CFTC commissioners have to approve the report. The SEC and CFTC are the regulatory bodies who are writing the report.
Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In: Hedge FundsMovers & ShakersPoliticsSecurities and Exchange CommissionWaddell & Reed Financial
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!