'Fat fingered' City trader loses £400,000 in 30 seconds when he accidentally bought HSBC shares

The share price of Britain's largest bank rose by more than 10 per cent after the error, leading to a suspension of its shares for five minutes

The estimated loss was as a result of the trade taking place at one time, rather than being spread over a long enough period



A ‘fat fingered’ City of London trader could have lost up to £400,000 in just 30 seconds after accidentally buying shares in HSBC.



The share price of Britain’s largest bank rose by more than 10 per cent after yesterday's trade, leading to a suspension of its shares for five minutes.



According to reports, the estimated loss occurred because the trade was not spread over a long enough period – meaning HSBC was vulnerable to a sudden drop in share price.

A City trader accidentally lost up to £400,000 in 30 seconds after buying shares in HSBC (stock picture)

Shares in the bank shot up from 630p to 688p seconds after the blunder. They then closed at 630.2p.

The spike briefly pushed the FTSE 100 into the positive, although it closed down 5.83 points at the end of the day at 6,538.45.

A London Stock Exchange spokesman confirmed that FTSE 100 circuit breakers suspended HSBC shares when 'price thresholds were breached'.

The London Stock Exchange said the activity was valid and that no trades were cancelled following an investigation.



HSBC declined to comment on the 'fat finger trade'.



In seconds, shares in the bank shot up from 630p to 688p before closing at 630.2p

According to Reuters, traders blamed the trade on human error – a ‘fat finger’ trade.



The identity of the trader and the company they work for has not been revealed.

A ‘fat finger’ trade was also blamed for an 11 per cent drop in Diageo’s share price yesterday.

