Several of Deutsche Bank’s clients had problems with the pricing they were getting electronically when they have came to roll positions forward at the end of September. When these have been queried on the telephone, the prices have apparently been requoted more accurately in line with prevailing rates in the market.
Whether the issue is one of simple mispricing or because of a technological fault is not clear, and Deutsche understandably has declined to comment. Sources say that many clients have been happy to roll their positions over on the phone, although others have decided that a better service is available elsewhere.
If the issue drags on, Deutsche will almost certainly take action. Its spot prices have remained competitive, although they have apparently been more "elastic" recently than many clients are used to. But the bank is unlikely to tolerate losing business as a result of poor tom next or spot next pricing.