weaker Posted June 13, 2013 Share Posted June 13, 2013 It seems one of our esteemed purveyors of financial news (CNBC) has discovered that you can buy access to critical economic data two seconds early. This despite every floor trader apparently knowing for years that early release occurs (see video). Of course, banks take us for chumps but it's hard to justify a 'market' where High Frequency Traders can just walk up to you and take your money for a few seconds (or minutes) because they know information you haven't paid for. In case you day-trade -- don't! In case you invest -- probably best to buy shares in entities who get access to this info, oh, and some insurance in case they screw up like Knight Capital. http://www.zerohedge.com/news/2013-06-12/santelli-schools-cramer-co-high-freaks Quote Link to comment Share on other sites More sharing options...
zugzwang Posted June 13, 2013 Share Posted June 13, 2013 It seems one of our esteemed purveyors of financial news (CNBC) has discovered that you can buy access to critical economic data two seconds early. This despite every floor trader apparently knowing for years that early release occurs (see video). Of course, banks take us for chumps but it's hard to justify a 'market' where High Frequency Traders can just walk up to you and take your money for a few seconds (or minutes) because they know information you haven't paid for. In case you day-trade -- don't! In case you invest -- probably best to buy shares in entities who get access to this info, oh, and some insurance in case they screw up like Knight Capital. http://www.zerohedge...-co-high-freaks Saw that yesterday! Particularly impressed by the synthetic outrage that the CNBC regulars managed to affect, like they had no idea this sort of thing was going on... Quote Link to comment Share on other sites More sharing options...
weaker Posted June 13, 2013 Author Share Posted June 13, 2013 Saw that yesterday! Particularly impressed by the synthetic outrage that the CNBC regulars managed to aeffect, like they had no idea this sort of thing was going on... Sorry, a little bug-bear of mine. I simply cannot believe this is legal. It probably wouldn't be, but for the fact that the High Frequency boys are so loved by the exchanges due to the commissions they pay for the many trades they do. Where is the SEC? Probably in bed with Thomson-Reuters, the NYSE, Goldman and the rest. Anyway, it cannot be good for the market since people will withdraw bids/offers before info comes out making for thin, illiquid markets which encourages flash-crashes. This is an example of how we are being kept like cows on a farm. Milked occasionally for our productive efforts. Disgusting. Quote Link to comment Share on other sites More sharing options...
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