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Watch Latest Farcical Senate Hearing On Flash Crash
As we await confirmation of 31 consecutive domestic equity fund outflows, we have the displeasure of sharing the latest farcical spectacle from the Senate Banking Committee where a bunch of corrupt "regulators" will tell the world they have no idea what caused the Flash Crash, and have even less ideas on how to prevent it from happening, but that in the meantime nothing is allowed to change in the market structure as otherwise their tithes from the HFT lobby may end.
Carl "Shitty Deal" Levin's prepared remarks can be read here, and the full docket is as follows:
Panel 1
-
Honorable Mary Schapiro
Chairman
U.S. Securities and Exchange Commission -
Honorable Gary Gensler
Chairman
U.S. Commodity Futures Trading Commission
Panel 2
-
Dr. James Angel
Associate Professor of Finance
Georgetown University McDonough School of Business -
Mr. Thomas Peterffy
CEO
Interactive Brokers -
Mr. Manoj Narang
CEO
Tradeworx -
Mr. Kevin Cronin
Global Head of Equity Trading
Invesco Ltd -
Mr. Steve Luparello
Vice Chairman
Financial Industry Regulatory Authority
h/t Hedge Analyst
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I want blood, damnit!
I want Waddell & Reed fined at least $30k!!!
The floor is now yours, Senator Dodd.
I'll take the fall. I openly admit that I caused the Flash Crash. After my hearing, and slap on the wrist, I will meet with my publicity agent at Le Cirque to discuss my book, film and TV deals.
ya know, i didn't want to mention this but i think i might have shorted BAC about two seconds before the crash....so ...before we're all so hard on Waddell, i think we should look at ourselves.....and see which one of us did it....
jesus christ this is all so damn pathetic....this is how a great country falls apart, isn't it?
Ok, Ok. I'll cut you in if you agree to let me say we acted as a team of depraved hacker/traders. American Greed, ya hearin' this? Just when you shorted BAC, I rumor mongered and texted. Just like when BSC crashed.
Of course we have to say that we learned how resilient US markets really are since they rebounded and eventually smoked us out.
We'll also agree to give seminars on how to spot a scam on Wall Street.
BIG TIME DENIAL OF SERVICE COMING...the rehearsals are apparently going live..but not in full dress, YET..
it is safe to assume that there are "National Technical Assets, and Private Special Interests - having EQUAL capabilitys...THAT Schwab, and any/all USA Brokerage firms will/can be subjected to a total denial of service to/from their customers...THIS WOULD undoubtedly would use BOTH slaved computers, AND 'inside people, at the Fibre optics key centers feeding such Brokerages, banks, and such as Goldman, too (to the extent they use 'the internet' carriers..)..'inside people, using management control protolcols SNMP-like to SHUT DOWN THE Big Cisco Routers, and perhaps, cut some major 'undersea' cables...as had been down already in the Middle East ("Anchor dragging accidents")
PROTECTION DISCUSSION fyi some practical things to know:
i have a COMCAST 20meg connection, as an Internet client who has been repeated attacted, continued DAILY in various configurations of attacker ways/means, and various defensive configurations/operating systems, hardward, and anti-intrusion/anti-virus software...AND HAVE LEARNED A LOT, that i would like to share with ZH readers....
1) yes, i have REALLY been attacked in a manner usually reserved for large companies, government agencies, etc...not for money, not for me being 'important', but probably just because i am 'fun to mess with'...i keep coming back, no matter what...harddrives 'wiped clean' (not merely erased)
and new O/S reloaded (without bothering to 'microsoft-activate' anymore, not when that 'clean load' will be knocked down in 1 hour or less...that includes ESPECIALLY MICROSOFT o/s 7...'THEY get lots of fun showing me how quickly THAT can be taken out...'
2) yes, i have 'implemented' every known 'retail version' of antivirus, including M/S VERY OWN...etc..nothing, NOTHING, ever detected!! nor stopped..
3) yes, i have/had implemented the M/S full-deal Professional Security Regime...REALLY...all the 'services' turned off, via msconfigure utility, for instance...and all the various 'local-security' options, and hiding the root/administrator, using only 'guest' or 'user' permissions
4) yes, i have/had/still do use a hardware firewall at the cable head (i REPLACED the COMCAST UNIT, at my own expense)
and limited the incoming ports to "80" and "443" only...out going ports, you must leave SOME of them open...in the "1024-1048" region for YOUR initiated communications...and of course SHUT DOWN the NETBIOS ms bullshit at the ethernet port, and as a service...theres more..
5) yes, i purchased and studied MANY security books relating to both MS and UNIX/LINUx..and implemented MANy MORE 'security-loophole' closures...
6) yes, i FINALLY did 'sort of' 'overcome' the/these intruders, which is what i would like to convey HERE..
6a) i find that using the UBUNTU in the CD/DVD only memory resident TOTALLY operating system with SOME ADDITIONAL measures taken...ALLOWS ME TO CONNECT , with continuous external interference (bringing some download speeds to less than 50kilobits/sec on a line that will work at 2-20 megabits when nobody is DDServicing me.....HOWEVER I CONTINUE TO BE ABLE TO USE THE INTERNET, WITHOUT THE BASTARD TEACHERS - TEACHING ME SOME LESSONS OF COURSE...the FINAL temporary solution...
6b) when UBUNTU is memory loaded/resident, usually there is NO security...its a 'demo' after all...however, you MUST CREATE a SECURE USER, protect the UBUNTU user (with near-root privileges), and protect the 'hidden' root users TOO
HOW TO DO: use 'passwd' to create the default 'Ubuntu' user password...it must be STRONG = 14 characters or more, with the entire ensemble of IBM character-set (256 possibles, printable/not printable)...the only 'practical' non-printable is THE SPACE BAR...so use numbers, symbols upper/lower case..use letters upper/lowercase..use about 25% of each 'set' = say 4 space bars randomly, 2 lowercase letters, 2 uppercase letters, 4 numbers, 4 symbols from set of upper/lower case...DO NOT USE ANY MECHANICAL SEQUENCE such as all the symbols from left to right, or any other easy to remember QUERTY physical pattern..it must be HARD, and forget your "easy to remember" THATs from pre-year 2000 advise...
HOW TO DO: use 'sudo passwd root' from the Ubuntu terminal command line... and create the 'root' password...make it one character DIFFERENT from the Ubuntus passwd, so that the "hash" of that 'root password' is different...
HOW TO DO: Create a USER could be named 'USR' under system/ administration/users and groups...give this USER 'no privileges' and provide a different (shorter password, maybe just trunkate the 'root' by a few characters)..
HOW TO DO: then create a SOFTWARE FIREWARE within the Ubuntu
...from the command line, as user = Ubuntu "sudo ufw enable' (the ufw firewall enable)..."sudo ufw logging full" (ENABLES the ufw firewall log with FULL LOGGING TRACE), "sudo ufw default deny incoming" (the basic default will be to block all tcp/ip 'uninvited' incoming packets on ports 1-65435 ...more commands are available here FYI)
HOW TO DO: finally, NOW, YOU CAN CONNECT TO THE INTERNET, BUT NOT QUITE FINISHED..set your hardware firewall to packet size '256' bytes (seems radical, but slows unhindered thruput to about 50%, not bad)...AND set your 'edit connections ethernet/radio to '256' bytes, and no DHCP, burt rather MANUAL TCP/IP like 192.168.0.11 on YOUR COMPUTER, and leave default hardware firewall at like, 192.168.0.1..and manually set you DNS at both firewall/computer..
NOW WITH ALL THIS DONE, you will not STOP the intruders if they are interested (want to play, 'teach you some more lessons') BUT THEY mostly mostly will NOT be able to disrupt your 'on-line-communications' to a 100%, just to 80% slowing of thru put, mostly DENIAL OF SERVICE PACKET FLOODING ATHT THE FIREWALL/COMCAST INTERFACE....which they will stop, once they see you've got the rest handled properly..
HOWEVER, sometimes, depending on THEIR interest, challenge level, a REAL INDUSTRIAL/NATIONAL INTELLIGENCE AGENCY capable hacker/intruder will STILL get in...you find 'locked processes, finally forcing you to reboot AND OF COURSE RELOAD THE ENTIRE OPERATING SYSTEM BACK INTO MEMORY...just about 3-5 minute however, so not bad..
YOU WILL NOT BE ABLE TO TRACE THE ACTUAL sucessful ATTACKING PACKET, THE REAL ONE...it will be ONCE and not more than 100 bytes long..SO FORGET YOUR "snort" software..it needs to be be, apparently, literally inside the hardware firewall, ath the first stages of decoding from COMCAST..
NO, COMCAST hasn't the slightest idea, what i am talking about, nor can i demonstrate it, nor have, apparently anyt others in my TCP/IP area complained...
YES, THEY CAN FIND you, by scanning the TCP/IP addresses in your area, they are all, by geographic area, and then finding your typical 'assigned IP'...and then finding your specific computer ID, used EVERYDAY BY ALL INTERNET CONNECTSS...http is not 'connectionless' but reiterates your address/computer ID for every screenfull...
YES, they can find you, even easier, with insertintg a 'cookie' on port '80/443' along with the http, etc..your computer will THEN DIAL BACK, as a kind of 'beacon' MAKING IT EVEN EASIER TO FIND YOU, but only if you are interesting enought to be worth 'hacking'...otherwise you are safe, security in anonyminity....millions of 'on line' computers, ll standard...
YES, they use 'ready made scripts', yes they find out your computer configuration ACPI/+startup ROM/flash...and then fetch from their existing databases, all they need to formulate on the spot the ideal 'single packet' intrusion...
NO, Microsoft is TOTALLY useless, and unfixable..UNIX is better, but only if you use its security, SELINUX and firewalls..AND BECAUSE IT IS NON-STANDARD, more difficult..but not for long...
So, for those interested...some ideas regarding REAL rather than 'pretend' computer security...all of those Microsoft antivirus systems, are TOTALLY USELESS, all the security features in MICROSOFT WINDOWS 7 PROFESSIONAL are totally useless...oh yah, the Cisco low-end firewall retail grade, for $200 is totally useless, i bought THREE of them and THEY BLEW OUT THE FLASHED PROGRAM ha ha aha...good thing there was a store warrantee...i returned each within ONE DAY...ha ha,
Cisco low-end firewall retail grade, for $200 is totally useless, i bought THREE of them and THEY BLEW OUT THE FLASHED PROGRAM ha ha aha...good thing there was a store warrantee...i returned each within ONE DAY...ha ha,
Isn't it obvious that the all the king's men and all the kings horses are useless in trying to reassemble a broken egg?
There is so much broken in the market, and bid is disappearing for reasons more profound than low latency and high speed (or even quote stuffing).
As we await confirmation of 31 consecutive domestic equity fund outflows....
TD, bond outflows will make a fine compliment to the equity outflow posts.
http://disciplinedinvesting.blogspot.com/2010/12/investors-may-be-growin...
Can we find out about the inflows into ETF's ... ? Well 6.5 billion a month is now accounted for going into the market.
December 08, 2010 --- Exchange-traded fund assets reached $931 billion in November, according to data from State Street Global Advisors (SSgA). ---According to SSgA’s November report, ETF assets were up $6.5 billion over the month, or 0.7%, following an identical showing of a 0.7% rise in asset levels the month before.
I don't want to hear the opinions of people who commit treason. AIG recapitalization by NY Fed is treason.
CE,
+10
Why would anyone want to waste their time on this???
Good God theyre STILL talking about the flash crash?
1974 spike in the price of Idaho potatoes is up for Senate investigation next.
Although some anti-patriots claim it was big agriculture, the real culprit under investigation is Spuds Tubor, at the time a 74 year old, slickster of a potato farmer, who tried to corner potato futures through his sly use of his Commodore 64 and 300 baud modem.
I think the carrot lobby caused it myself.
I wouldn't hit that for all the copper in China.
What movie am I watching, what channel?
Hey, I have no doubt that the SEC/CFTC has absolutely no idea how flash crashes happened, as I'm sure that their lobbyists have explicitly instructed them where not to look.
And just in case, they make sure their tranny-porn pipeline has plenty of bandwidth.
In other news, Bernanke has no idea why gold (read: real money) is exploding. Next?
Instead of wasting your time watching those sham hearings, read Carroll Quigley's "Tragedy and Hope".
http://files.meetup.com/388713/Carroll%20Quigley%20-%20Tragedy%20And%20H...
the US electorate system has been controlled by the bankers since 1883
why do i think they playin' us?
Yea OATS is the problem, LOL!!!!! Soon the CLOB will arrive yep, "Central Limit Order Book". :D
The IB guy's testimony may be interesting. I know they had some strong views on the Flash Crash. That'll likely be it though.
Anyone know if M. Shapiro is done yet with this long, exhausting period during which she receives the opinions of criminal syndicate Wall Street bankers regarding which laws she should enforce, and which laws she should not enforce to better facillitate the looting of the American Treasury Dept by said criminal bankers?
Anyone....Bueller....Bueller...
there are two Cornell professors in the business school who claim they can now predict them. LOL. What a couple of clowns (colleagues).
...and fuck hearings.
clowns,,all
SEC Dragnet Files - Case of the May 6th Flash Crash.
In a dimly lit room in the bowels of the SEC, a hardened group of regulators, led by the fearless Honorable Mary Schapiro, are slowly turning pages in a book of HFT mug shots when a visibly shaken and distressed day trader, the latest flash crash victim, suddenly points to a grainy black and white photo of an HP Proliant Server and exclaims in a shaky voice -- "thattttss theeee one, fronttt rannn all my traaddddes, under bidding me, the bastard."
The 'HONORABLE' Mary Shapiro...man hell with that nonsense call her the skank.
Well, had to preserve some realism or the story wouldn't be ironic.
Thanx Mary. Go back to surfing porn. The only thing your good at! Quit wasting our time.....
Hoser
It was Waddell, in the trading room, with the ES short.
Strange, I came up with Reed, behind the servers, with a stock ticker! :>D