ANZ’s toxic trading-floor roulette spins out of control
The big four bank is engulfed in one of the biggest scandals in its 182-year history after a sudden market move cost the federal government tens of millions of dollars.
It’s 1.50pm, April 19, 2023, and a group of bankers are dialled into a call to set the pricing on one of the largest government bond sales ever.
In a room with a glass wall on the ANZ trading floor, a trader eyes the Bloomberg terminal and calls out a number – 96.46. The interest rate the nation will pay on $14 billion of debt until May 2034 is set at 3.635 per cent. Within moments, however, the price has jumped, and the yield has dropped, as though pressure had been released from a coil. What just happened?
Jonathan ShapiroSenior reporterJonathan Shapiro writes about banking and finance, specialising in hedge funds, corporate debt, private equity and investment banking. He is based in Sydney. Connect with Jonathan on Twitter. Email Jonathan at jonathan.shapiro@afr.com
