Bankers Trust denies talk of huge losses
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.NEW YORK - Shares of leading international banks took a hammering on Wall Street yesterday amid rumours of big losses in the derivatives market, this time focused on Bankers Trust, writes Larry Black.
The bank, among the five largest US players in the huge market, was obliged to issue a statement saying its operations this year had been profitable and denying derivatives traders had been sacked.
Early on trading rooms were swept by rumours of huge losses because of recent interest rate reversals, of dismissals of executives, and even of an impending bankruptcy filing. Trading in the bank's shares was delayed nearly two hours because of the rumours, prompting a general sell-off in large bank shares.
Bankers Trust reopened down more than dollars 3 at dollars 775 8 . Shares in JP Morgan, Citicorp and Chemical Bank, all large derivatives traders, also fell.
Traders said that, despite the denials, the reports pushed up the bank's cost of borrowing in the interbank market.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments