BNP Trader Suffers $80 Million Loss After Putting On Wrong Trade Then Leaving For Vacation

1/15/2019 BNP Trader Suffers $80 Million Loss After Putting On Wrong Trade Then Leaving For Vacation
en Leaving For Vacation | Zero Hedge
BNP Trader Suffers $80 Million Loss After Putting On Wrong

Trade Then Leaving For Vacation
by Tyler Durden
Tue, 01/15/2019 - 12:38
A few weeks after Citi unexpectedly announced that it was facing a $180 million loss on a loan to an Asian
hedge fund which saw major losses on its FX trades, now it's BNP Paribas turn: the French bank reportedly
lost $80 million in derivative trades linked to the S&P500-linked derivative trades late last year, Bloomberg
reports.
In what appears to be a junior, if even more entertaining version of Jerome Kerviel's infamous SocGen blow
up which forced the shocked Fed to cut by 75bps to avoid a crash, the trading loss emerged after Antoine
Lours, BNP's head of US index trading, put on positions on the S&P 500 which then quickly started losing
money; amusingly, Lours has yet to return to the bank from his Christmas vacation even though the
majority of the S&P-linked losses came over several days in the run-up to the holiday. Having seen
Kerviel's fate, he may decide to never come back.
https://www.zerohedge.com/news/2019-01-15/bnp-trader-suffers-80-million-loss-after-putting-wrong-trade-then-leaving-vacation 1/16
1/15/2019 BNP Trader Suffers $80 Million Loss After Putting On Wrong Trade Then Leaving For Vacation | Zero Hedge
Antoine Lours LinkedIn Profile
Lours, who was confident enough in his trade, decided to leave for vacation after putting the trade on when
said trade began losing large amounts of money as the S&P 500 tumbled. As a reminder, the S&P plunged in
the days headed into Christmas, suffering the worst ever "Christmas Eve Massacre" in history shortly after
Steve Mnuchin announced he was calling the Plunge Protection Team to stabilize markets. It only made
things worse.
Understandably, Lours didn’t respond to a Bloomberg request for comment made through his LinkedIn
account, and a colleague at his desk in New York said the trader was strangely not in the office this week.
We would not hold our breath for him to come back... ever.
Needless to say, the losses won’t help BNP’s trading division, which has been seeking to revive growth as
the bank focuses on improving the investment-banking unit as a whole. As Bloomberg wryly notes, Q4
trends at rival firms aren’t encouraging for the French bank, either: Citigroup Inc. and JPMorgan Chase &
Co. both posted plunging bond-trading revenue this week.
Finally, adding insult to injury, the Christmas trading debacle comes as the French bank winds down some
of its other markets businesses. Last week, Bloomberg reported that BNP Paribas was in the process of
closing its proprietary trading arm, Opera Trading Capital. This week, it emerged that the lender is winding
down its U.S. commodities derivatives desk. We now may have an idea why BNP has been in such a rush to
shut down so many formerly profitable operations.
44132  93 
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All Risk No Reward 30 seconds ago  

Sounds like a cover up.
It is impossible to believe that > $80 million trades ($80 million was just the loss) are made
without oversight due to some trader's vacation.
And it is even harder to believe they would publicize this as the narrative.
Look under the carpet, people, and in the closet.
Something reeks.

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Goodsport 1945 1 minute ago  

Couldn't happen to a nicer group of people than the 'friendly' banksters. Years ago, organized
theft was small time as this song implies:
https://www.youtube.com/watch?v=09PfzdZi270
Nowadays, governments have transformed the banks into insured hedge funds. Time to put them
all out of business.
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thebriang 3 minutes ago  

Crowdfund him some rope.
One less leech.

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U4 eee aaa 4 minutes ago  

Hubris or maybe sabotage?

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Pair Of Dimes Shift 4 minutes ago  

Hello, stop-loss order. WTF?

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glenlloyd 7 minutes ago  

And it's gone....
 
Gert_B_Frobe 8 minutes ago  

Woopsey poopsey.
Maybe he should check out the "earn at home" ad that gash keeps hawking, here, on ZH.
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2
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2
45North1 13 minutes ago  

And that's how I ended up working in the hamburger industry.....

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Serenity.lisa 14 minutes ago  

I get paid over $90 per hour working from home with 2 kids at home. I never thought I'd be able to
do it but my best friend earns over 10k a month doing this and she convinced me to try. The pote‐
ntial with this is endless. Heres what I've been doing,

✫░C░ l░ i░ c░ k░ ░H░e░r░e░✫ http://www.todaysfox.com

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needtoshit 11 minutes ago  

You get paid to LIE.

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roadhazard 17 minutes ago  

If you listen carefully you can hear the worlds smallest violin playing.
 
3rdWorldTrillionaire 19 minutes ago  

There’s way more to this story...
 

The counterparty to this trade was an unnamed BTC wallet located on an obscure Pacific
Island... where this trader is currently relaxing. permanently.

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SpanishGoop 20 minutes ago  

Is that scapegoat still on Christmas holiday ?
Snowed in i am sure.

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SamuelAdams 21 minutes ago (Edited)  

Many years ago, I had a friend who traded for Lazard in NYX. He had a position go against him in
a major way. Sadly, he decided to jump from the 30th floor at Rock Center. We met a Grand
Central as usual, got coffee and bagel with cream cheese. He seemed quite agitated but offered
no explanation. Wish he would have gone on vacation and not come back. I still think of him from
time to time.
SOL
Oathkeeper
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 2

Sorry to hear that. Sad the way money controls people.
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Gert_B_Frobe 5 minutes ago  

Good thing you didn't meet him again just outside of the Rock
 
NidHolderoftheCrowleyseat 23 minutes ago  

https://youtu.be/pnTIsubYbCU
Figure it out. You have nothing to offer me.

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There 28 minutes ago  

Thank you !
 
El Hosel 29 minutes ago  

If he was a Millennial he said "sorry bro, my bad" ….. then fired, to his total dismay.
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SirTaxedAlot 31 minutes ago  

When can we expect the GoFundMe page?
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TabakLover 31 minutes ago  

Did he get stopped out? If not, and he was long the SP, and the trade is still on........... he's
positive vs. the SP close on 12/17.
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pelican 32 minutes ago  

Classic
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OccamsCrazor 32 minutes ago  
so no christmas bonus for Lours.
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Black Dog 32 31 minutes ago  
Double his bonus to retain the talent.
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saldulilem 33 minutes ago  

At least he went out with a bang
 
Lucky Guesst 33 minutes ago  

So he gets fired and probably has to find a new profession. It still isn’t as gut wrenching as losing
your own money. I don’t think he will need to dive off any balconies over this.

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new game 35 minutes ago  

why have humans when bots can robo trade? what am I not understanding?

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0hedgehog 37 minutes ago  

I'm sorry but if I were investing at that level, I would be using my phone/tablet to keep an eye on
it, even on vacation. What a maroon!
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Blazing in BC 37 minutes ago  

Not everyone losted.

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chubbar 39 minutes ago  

These things happen. I'll bet this generates some new procedures, what do you think?
 
Totally_Disillusioned 39 minutes ago  

One more reminder to avoid traders...
 
david4758 39 minutes ago  

Google is paying 93$ per hour,with weekly payouts.You can also avail this.On tuesday I got a bra‐
nd new Land Rover Range Rover from having earned $12845 this last four weeks..with-out any do‐
ubt it's the most-comfortable job I have ever done .. It Sounds unbelievable but you wont forgive
yourself if you don’t check it.
=======>HERE►Employment10.com
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2
0hedgehog 30 minutes ago (Edited)  

Keep working for Goolag....you and your land rover are part of the problem! All lies.
 
Lucky Guesst 28 minutes ago  

antoine.lours@icloud.com is a solid lead
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geotrader 41 minutes ago  

So had he put on the right trade he'd be up for partner?

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Chippewa Partners 42 minutes ago  

Did he put on the trade with Turney Duff? They might still be on vacation..........
 
Cesare de Borgia 46 minutes ago  

BNP sucks the top brass fly first class meanwhile the desk jockeys are told they don't have money
for basic stuff like headphones to make a skype call.
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PrivetHedge 48 minutes ago  
lost $80 million in derivative trades linked to the S&P500-linked derivative trades
Derivatives is such an excellent way to lose huge amount of money, little else gets close.
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alienateit 49 minutes ago  

He is starting at Goldmans after his vacation,
it wasn t his money to start with.

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6 1
floydbankfine 50 minutes ago  

banks need to be made boring again and really need to refocus on the one thing they do well, the
automated teller machine. we deregulated under alan greenspan and we know what happened
after that. banks even started to believe their own propaganda and worse, they scared us into
thinking they were the producers of the economy this way we puked and gave them even more
thinking they were the producers of the economy - this way, we puked and gave them even more
money, amazingly enough. still waiting for banks to deliver what we purchased.
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ten_bagger 52 minutes ago  

Just remember: Coke and whores.
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Jumanji1959 33 minutes ago  

be a little more discrete, it's............"hookers & blow"!!

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ShrNfr 52 minutes ago (Edited)  

Stuck on stupid to be sure. I go flat if I am not in front of the terminal.
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Bill of Rights 54 minutes ago (Edited)  

That might leave a #hashtag in ones underwear.
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2 1
JLM 55 minutes ago  

Always put your stops in first on any leveraged trade. Ask Oscar. Then go on vacation. Even better
close out your trades end of day and never hold a position like that over the weekend.
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besnook 55 minutes ago  

something funny about this. it may be a **** you ! i quit! trade.
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Exactly. More to this than being divulged.
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Ink Pusher 57 minutes ago  

The world's most expensive "Vacation" brought to you by a complete dip-**** at BNP.
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JibjeResearch 57 minutes ago  

Batichessss...
Bwahahhaha ahahahahahaha :)
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2
Guentzburgh 1 hour ago (Edited)  

Financial trading is not a casino, instead the casino emulates Rigged financial trading simplifying
choices by removing strategy and knowledge variables :) why would you need them if the trading
is rigged anyway.
I dont understand how he lost 80 million unless he was ignorant or careless or had a massive
position, or perhaps he had a nervous breackdown and let it happen.
You dont really lose money unless you are an idiot

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delta0ne 1 hour ago (Edited)  

The fact that he went on vacation is "smokes and mirrors", as if, if he didn't go on vaca he wouldn't
have lost the money. "Late last year" suggests he was net long the S&P index and we all know
what happened in December. He would have lost $75mil had he not gone on vacation. Duh!
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Guentzburgh 57 minutes ago  

what if he had ac stop loss ? Never mind hedging in a creative way ....
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that's too responsible lolz bWhahahahahahhahahaha lol ahahahah :)

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delta0ne 41 minutes ago  

Guentz: he had a stop loss. that's why he only lost $80mil.. Capisce?
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Herdee 1 hour ago  

Good till Cancelled - Oh, I forgot.
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lolz
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slightlyskeptical 31 minutes ago  

I actually bought some things during the huge flash crash with GTC orders I had forgotten
about.
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1
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allfornaught12 1 hour ago  

Cry me a river
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Mr. Apotheosis 1 hour ago  

The fact that you can lose $80 mil at the click of a mouse unequivocally proves that the whole
market is a farcical casino.
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20
allfornaught12 1 hour ago (Edited)  

E
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Jus7tme 21 seconds ago (Edited)  

Algortithms do not even need a mouse click to operate
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buzzsaw99 1 hour ago  

"Barings' collapse was due to the unauthorised and ultimately catastrophic activities of, it appears,
one individual (Leeson) that went undetected as a consequence of a failure of management and
other internal controls of the most basic kind".
The words I venture to emphasise to your Lordships are these:
"as a consequence of a failure of management and other internal controls of the most basic kind".
 
any_mouse 5 minutes ago  

A hoax. Cover story for a hostile takeover of Barings. Bought for £1 by ING.
The #METOO assault on Weinstein Studios that resulted in Harvey selling out cheap.
Maybe some ruling family circumcised **** swinging as well:
"With the failure of Barings, N M Rothschild & Sons is the only name remaining from the
glory days of 19th-century British merchant banking."
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Condor_0000 1 hour ago (Edited)  

I rarely let stops get hit, but I always enter them just to avoid this kind of problem. What if I get in
a car wreck and I'm in a coma for 30 days? I don't want to recover only to find I lost my *** on that
last trade I made. It would surely put me back in a coma. Enter the ******* stops!
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richsob 1 hour ago  

I learned the lesson for putting in stops the hard way. I know my personality; I'm too
stubborn So I put in the stops and then STFU I am my own worst enemy sometimes if I'm
stubborn. So I put in the stops, and then STFU. I am my own worst enemy sometimes if I m
not careful.
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4
AGuy 52 minutes ago  

I think he was investing in some type of derivative trade which stops are probably not
available.
"BNP Paribas turn: the French bank reportedly lost $80 million in derivative trades linked to
the S&P500"
FWIW: I am pretty sure he wasn't investing, but placing speculative bets with OPM (Other
Peoples Money). Realistically a trader can never go on vacation unless all positions are
closed, or there is someone working as backup that can address a failing position.
Fortunately for Lours, he can now enjoy a permament vacation as no company will ever hire
him to manage money ever again. The only job he he can obtain now, is a Janitor.


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1 1
Dr. Mantis Toboggan 6 minutes ago  

I’ve actually found in the trading industry that the guys with the biggest blowouts always
find an offer from a rival shop.
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FBGnome 1 hour ago  

First off I work with traders and they never place new orders and then go on vacation. They tend
to delete all orders and only leave ones considered stink bids. This article is bs imho because its
ridiculous in what they are suggesting.
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booboo 1 hour ago  

Maybe he took the other side of that trade and is sitting in Tahiti getting his torpedo
polished.
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13
unrulian 1 hour ago  

lol
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

Imagine he lost $80M and got $5 mil after getting fired!
lolz ahahahahahahaha ... it's a good deal actually lolz ahahahahha

 

C f t ti th t ld b f i th th t t d lf
Cover for a transaction that would be more of an issue than the stated malfeasance.
Maybe the trader just pulled off a 80 mill heist and is somewhere out of reach.
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1
JimmyJones 1 hour ago  

OT, any news on Ruth Ginsberg? She alive? Still "working" from home? Kinda hard to hear oral
arguments from home right? How can she decide court issues from home?
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RichardENixon 47 minutes ago  

They're working on a cyborg replacement. Those things take time
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Cognitive Dissonance 26 minutes ago (Edited)  

The NSA has provided her with video tape of all oral arguments regardless of the fact (all
known) recording devices are usually confiscated when appearing in front of the judges.
One cannot "record" a judge without their permission...uless you are the NSA of course.
 
peippe 25 minutes ago  

just finished jury duty between a bunch of female-run courtrooms....(except for a male
bailiff)
total confusion prevailed.
If RbG wants to pretend she can hear oral arguments from home, the court will let her
because female. Eyeroll.



RBG is working out of the US Embassy in Baghdad.
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novictim 1 hour ago  

By definition, this trader was not to blame unless he somehow failed to provide the details of the
trade to the colleague taking over for him.
Or there is a systems problem at BNP which creates this lack of continuity. Stocks can go up or
drop in value at anytime. If you could predict that with certainty then there would not be a market.
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charlewar 1 hour ago  

hey, only 80 million...it's OPM, no big deal.
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847328 3527 h
847328_3527 1 hour ago  
OPM.
No one at BNP cares.
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2
jetfuel_hahaha 1 hour ago  

What really happened?
or,..
09/11 was a guy in a cave

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Snaffew 1 hour ago  

9/11 was a guy in a cave alright...a CIA bunker to be exact.

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2 1
slightlyskeptical 1 hour ago  

Was the trade ever closed? if not, he has made back a substantial portion of it, but just not on the
2018 books.
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Cognitive Dissonance 28 minutes ago  

I suspect the trade was closed by his superiors when the blood started flowing past the
executive offices. At the very least the risk officer woke up and started ringing the bell.
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Last of the Middle Class 1 hour ago  

Seen it before.
Good luck asswipe in your new job at the arches.

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1 2
Josef Stalin 1 hour ago  

I feel sure he will still pick up a handsome bonus
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10
Seasmoke 1 hour ago  

They are just a bunch of degenerate gamblers. What a Total joke.

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Dangerclose 1 hour ago  

Dangerclose 1 hour ago
I tried to buy some PG&E puts at the open Monday. I was hoping some poor fool just didn't catch
the bankruptcy filing and left some orders to sell open.

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1
novictim 1 hour ago  

Now ask yourself if YOU grasp the difference between Chapter 11 and Chapter 7
bankruptcy? Which one is good for investors, all other things being equal, and which one is
deadly to investors? PG&E is going to file Chapter11 protection which allows them to reduce
their obligations to pension funds and creditors and nullifies the witch-hunt against them
for fires that the state's own policies made so horrendous. PG&E is going to make a lot of
investors a whole bunch of money. If you cannot see that then it is on you.

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Logic Plague 1 hour ago (Edited)  

Mon Dieu!
Oh well, not as bad as Jerome Kerviel or the black dude at UBS or CS in London.
What's a few tens of millions between eyes wide shut party bros anyway.
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mr1963 1 hour ago  

BNP is a screwed up organization, top heavy with know nothing "managers" all connected either
politically or through their "university." They might be worse than FC Stone, although Stone takes
the cake for overall stupidity.
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847328_3527 1 hour ago  

My friend needed a date awhile back so she invited me to go with her to one of their
Christmas Parties for BNP execs.
Those execs are seriously screwed up; extremely arrogant for no reason whatsoever. I was
glad when we left.

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_ConanTheLibertarian_ 1 hour ago  

LOL


Citxmech 32 minutes ago  

Too bad that had to happen on his last day.
 
NoDebt 19 minutes ago (Edited)  
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en Leaving For Vacation | Zero Hedge

BNP Trader Suffers $80 Million Loss After Putting On Wrong

Antoine Lours LinkedIn Profile

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View 1 More Comment

All Risk No Reward 30 seconds ago  

Sounds like a cover up.

Look under the carpet, people, and in the closet.

Goodsport 1945 1 minute ago  

thebriang 3 minutes ago  

One less leech.

U4 eee aaa 4 minutes ago  

Pair Of Dimes Shift 4 minutes ago  

glenlloyd 7 minutes ago  

Gert_B_Frobe 8 minutes ago  

45North1 13 minutes ago  

Serenity.lisa 14 minutes ago  

needtoshit 11 minutes ago  

roadhazard 17 minutes ago  

3rdWorldTrillionaire 19 minutes ago  

3rdWorldTrillionaire 8 minutes ago  

SpanishGoop 20 minutes ago  

SamuelAdams 21 minutes ago (Edited)  

3rdWorldTrillionaire 18 minutes ago  

Gert_B_Frobe 5 minutes ago  

NidHolderoftheCrowleyseat 23 minutes ago  

Figure it out. You have nothing to offer me.

There 28 minutes ago  

El Hosel 29 minutes ago  

SirTaxedAlot 31 minutes ago  

TabakLover 31 minutes ago  

pelican 32 minutes ago  

saldulilem 33 minutes ago  

Lucky Guesst 33 minutes ago  

new game 35 minutes ago  

0hedgehog 37 minutes ago  

Blazing in BC 37 minutes ago  

chubbar 39 minutes ago  

Totally_Disillusioned 39 minutes ago  

david4758 39 minutes ago  

yourself if you don’t check it.

0hedgehog 30 minutes ago (Edited)  

Lucky Guesst 28 minutes ago  

geotrader 41 minutes ago  

Chippewa Partners 42 minutes ago  

Cesare de Borgia 46 minutes ago  

PrivetHedge 48 minutes ago  

alienateit 49 minutes ago  

it wasn t his money to start with.

floydbankfine 50 minutes ago  

ten_bagger 52 minutes ago  

Jumanji1959 33 minutes ago  

ShrNfr 52 minutes ago (Edited)  

Bill of Rights 54 minutes ago (Edited)  

JLM 55 minutes ago  

besnook 55 minutes ago  

3rdWorldTrillionaire 15 minutes ago  

Ink Pusher 57 minutes ago  

JibjeResearch 57 minutes ago  

Guentzburgh 1 hour ago (Edited)  

You dont really lose money unless you are an idiot

delta0ne 1 hour ago (Edited)  