Finextra reports that regulators have begun to crack down on HFT firms that employ algorithms to submit fake orders to manipulate the market.
Regulators on both sides of the Atlantic have levelled their first fines against high frequency traders who deployed computer algorithms to spoof the markets by placing and immediately cancelling bids and offers in futures contracts.
David Meister, the CFTC’s enforcement director, says: “While forms of algorithmic trading are of course lawful, using a computer program that is written to spoof the market is illegal and will not be tolerated. We will use the Dodd Frank anti-disruptive practices provision against schemes like this one to protect market participants and promote market integrity, particularly in the growing world of electronic trading platforms.”
This is another John Corey novel by Nelson DeMille. What I admire about DeMille is that he’s written a couple of brilliant, one-off books set during the Cold War (The Charm School, The Talbot Odyssey) as well as this modern day series about a semi-retired NYPD detective with a sharp, though politically incorrect, sense of humour. This title has many of the signature John Corey features: struggle against the reach and might of the FBI/CIA; grapple with mortal enemy Ted Nash; call on NYPD contacts for off-the-books investigations; act like a jerk but still win the heart of the lovely Kate Mayfield. But it’s also based on a true story, the 
Another great book by Michael Lewis. Although it might be a stretch for anyone who doesn’t already have a passing knowledge of the financial products involved, it’s a brilliant read. He manages to turn some pretty outrageous characters into unlikely heroes, and shines on a light on the murky dealings that led to the credit crunch of 2008.
musingstudio 