United Airlines’ stocks dropped by $1.14B today as automated trading programs quickly sold stocks after crawling a Google news story. The news story was from 2002, when UAL filed for bankruptcy. Google found the article, but since no timestamp was on it, it reported the story as recent. This triggered programs that automatically scan for news articles and take appropriate trading actions to immediately sell all UAL stocks, causing it to drop from $12 a share to $3 a share. It has since recovered back to $10 a share.
I found this story hilarious. A badly crawled article triggers robots to cause a company’s stocks to drop $1.14B. How messed up is that?
Read more about it here.

