Bank of England warns of further financial ‘short sharp shocks’

Bank's markets chief Chris Salmon warns of increasingly likelihood that a 'flash crash' in one market risks contagion in others

The Bank of England has warned the financial community against complacency in the wake of a series of "short sharp shocks" in markets over recent months that it said could happen more frequently.

Chris Salmon, the Bank's executive director for markets, said uncertainty surrounding the global economy following the collapse in the oil price had heightened anxiety in the major currency and bond markets.