Python Developer - HFT Trading firm - Chicago, IL
Emile van Sebille
emile at fenx.com
Sat Aug 21 20:01:01 CEST 2010
On 8/21/2010 10:32 AM Raymond Hettinger said...
> On Aug 21, 2:30 am, Lawrence D'Oliveiro<l... at geek-
> central.gen.new_zealand> wrote:
>> Wasn’t HFT an exacerbating factor in just about every major stockmarket
>> downturn since, oh, 1987?
> IMO, it was a mitigating factor.
> HFT firms provide liquidity and help price discovery.
> Investor sentiment is what drives rallys and crashes.
Mitigating? Trading applications that allow order-of-magnitude bad data
through causing automated trading systems to follow suit dumping stock
at a loss of billions sounds more like an instigating factor.
Investor sentiment _should be_ what drives rallys and crashes, and
likely is over extended periods, but appears no longer to be the only
factor in market volatility.
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