BIS fails to find single cause of sterling ‘flash crash’
Report finds “numerous” factors which amplified the effects of the depreciation, including “inexperience staff” and “fragile” market conditions
The Bank for International Settlements (BIS) has failed to find a single cause for the sterling 'flash crash' which occurred last year, but instead finds that "a confluence of factors catalysing the move".
In a report published today (January 13), the BIS identifies "fragile" market conditions, "inexperienced staff" and the time of day as factors that helped cause the crash, which saw sterling fall 9% in the early hours of Asian trading on October 7.
The report was written by the BIS' Markets
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