LTCM lost 550 million dollars in a single August day in 1998

Evidence

In a single day (August 21, 1998), LTCM lost $550 million as swap spreads in the United States and the United Kingdom widened dramatically and the planned merger between Ciena Corporation and Tellabs, Inc., in which LTCM had a large position that would profit if the merger was completed, was canceled (Perold 1999, pp. — Donald MacKenzie, An Engine, Not a Camera, 1052

Categorization

• SHARE: A concrete, striking data point for anyone interested in the LTCM collapse.
• XREF: connects to: Russia’s August 1998 default triggered a global flight to quality in financial markets. — Donald MacKenzie, An Engine, Not a Camera: How Financial…, 1013