Five-Minute ‘Flash Crash’ in Nordic Equity Markets Jolts Europe
- Stoxx Europe 600 index also drops, then quickly recovers
- Thin volumes likely exacerbate moves with U.K., Ireland closed
This article is for subscribers only.
A sudden selloff in European stock markets just before 10 a.m. CET on Monday was fueled by a flash crash in the Nordic region, with traders and fund managers pointing toward a potential portfolio trade error.
The OMX Stockholm 30 Index slumped as much as 8% in just five minutes before recovering most of the losses shortly after. The index was trading 1.1% lower as of 1:00 p.m. CET, roughly in line with a dip in broader markets.