British Pound Flash Crash

The British pound tumbled yet again Tuesday and lost more than 1 percent of its value against the greenback. It now costs $1.2216 to buy one British pound, marking a drastic decrease from its 52-week high of $1.5509. As noted by Bloomberg, Tuesday marks the fourth consecutive day of losses for...

The British pound plummeted more than 6 percent in around one minute, sharing some characteristics with the flash crash seen in the U.S. market back in 2010. According to Gadfly's Christopher Langner, liquidity, fear and large positions are some of the common characteristics shared by flash crashes...