Citigroup Inc. (C)
Citigroup counting £61.6m cost of fat finger error
Citigroup is counting the cost of a fat-finger trade that led to a flash crash in European stocks after being fined £61.6 million by the UK regulators. The American bank's systems were poorly designed and ultimately ineffective as chaos was unleashed after a London-based Citi trader moved to sell a huge basket of equities in error on May 2, 2022.
Citigroup counting £61.6m cost of fat finger error
Citigroup is counting the cost of a fat-finger trade that led to a flash crash in European stocks after being fined £61.6 million by the UK regulators. The American bank's systems were poorly designed and ultimately ineffective as chaos was unleashed after a London-based Citi trader moved to sell a huge basket of equities in error on May 2, 2022.
UK watchdogs fine Citi trading arm £60m after trader's fat finger error
Citigroup Inc's (NYSE:C) Global Markets arm (CGML) has been fined over £60 million by City of London regulators after its slow reaction to a mistake by one of its traders led to US$1.4 billion of equities "being sold in European markets when they should not have been" and a sharp drop in some European market indices. The Financial Conduct Authority said its fine of £40 million, reduced to just under £28 million due to early payment, was for "failures in systems and controls" over the actions of a CGML trader in May 2022.
Unveiling the Hottest Stocks: Top 3 Picks for Your Portfolio in May
Looking ahead, the future of the U.S. economy appears promising as recent inflation data suggests some stabilization. In April, the CPI rose by 0.3%, slightly below expectations, but increased by 3.4% in 12 months, in line with forecasts.
Citigroup Stock Forecast: Cloudy With a Chance of Windfalls
Citigroup (NYSE: C ) is a financial giant you can bank on, so to speak, but the company will face challenges in 2024. The Federal Reserve's interest-rate policy will undoubtedly have a major impact on Citigroup's top and bottom lines.
