Someone got the natural gas report 400 ms early
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Re: Someone got the natural gas report 400 ms early
#2After seeing some of their posts earlier and comparing it to live data I record at the colocations, I've concluded that they have clock issues which makes these types of anomalies appear frequently. Or they have a bad data vendor.
Interestingly enough, even the regulators don't have good (only millisecond-resolution) trade data.
Re: Someone got the natural gas report 400 ms early
#3If we can't solve this problem, with the rise of machine driven microtrading, is there really any reason to place any faith in the stock market as a private investor?
Re: Someone got the natural gas report 400 ms early
#4If we can't solve this problem, with the rise of machine driven microtrading, is there really any reason to place any faith in the stock market as a private investor?
It's not like it's the only of our concerns: http://www.zerohedge.com/news/2013-01-18/did-tim-geithner-le....
I'd love a blog that explained how investing in stocks with all this irregularity can be done consistently well. I imagine it gets harder and harder.
Just look at LIBOR.
Re: Someone got the natural gas report 400 ms early
#5Or someone got the report a few hours early, didn't want to be seen to jump the gun (insider trading, and all that) and kicked off a new trading strategy 400ms earlier than they intended...
Re: Someone got the natural gas report 400 ms early
#6After seeing some of their posts earlier and comparing it to live data I record at the colocations, I've concluded that they have clock issues which makes these types of anomalies appear frequently. Or they have a bad data vendor. Interestingly enough, even the regulators don't have good (only millisecond-resolution) trade data.
Interesting, so you are saying that Nanex is wrong about someone trading 400ms before the report?
Re: Someone got the natural gas report 400 ms early
#7If we can't solve this problem, with the rise of machine driven microtrading, is there really any reason to place any faith in the stock market as a private investor?
It's not like it's the only of our concerns: http://www.zerohedge.com/news/2013-01-18/did-tim-geithner-le... . I'd love a blog that explained how investing in stocks with all this irregularity can be done consistently well. I imagine it gets harder and harder. Just look at LIBOR.
I agree that corruption is the larger and possibly more pressing issue, but that doesn't seem to be what happened here. I could be wrong of course, but this seems like a technical flaw and not intentional.
Re: Someone got the natural gas report 400 ms early
#8This shows that not all investors acted on the information at once. But doesn't show that the report got out early.
To the point of "private investors", if you are expecting to be able to see a news release the second it drops, spend 10 seconds reading it, make quick predictions on stock movements, and then buy/sell equities based on that... computers have had you beat for a long time on that game. Find another or automate that.
Re: Someone got the natural gas report 400 ms early
#9After seeing some of their posts earlier and comparing it to live data I record at the colocations, I've concluded that they have clock issues which makes these types of anomalies appear frequently. Or they have a bad data vendor. Interestingly enough, even the regulators don't have good (only millisecond-resolution) trade data.
These are charted with CQS (official) timestamps. Try again.
Re: Someone got the natural gas report 400 ms early
#10Or someone got the report a few hours early, didn't want to be seen to jump the gun (insider trading, and all that) and kicked off a new trading strategy 400ms earlier than they intended...
and of course that also is only possible, when they know the exact time of when the news would go out. So that, they can time their activity just milliseconds before that, using tech.