The Plunge Protection Team Is Opening An HFT-Focused Chicago Office

Tyler Durden's picture

For several days we had heard a persistent rumor, that one of the most famous members of the New York Fed's Markets Group, also known as the Plunge Protection Team, Kevin Henry was moving to the HFT capital of the world, Chicago. We refused to believe it because, let's face it, when the trading desk on the 9th floor of Liberty 33 needs to get its hands dirty in stocks, it simply delegates said task using just a little more than arms length negotiation, with the world's most levered HFT hedge fund: Ken Griffin's Citadel. Why change the status quo.

And then, it turned out to be true because as the Chicago Fed announced just a few short days ago:

The Markets Group at the Federal Reserve Bank of New York manages the size and composition of the Federal Reserve System’s balance sheet consistent with the directives and the authorization of the Federal Open Market Committee (FOMC), supports debt issuance and debt management on behalf of the U.S. Treasury, provides foreign exchange services to the U.S. Treasury and provides account services to foreign central banks, international agencies and U.S. government agencies.

 

Markets Group is establishing a presence at the Federal Reserve Bank of Chicago and has openings for both experienced professionals and recent graduates.

So instead of interacting with the HFT momentum ignition algos using the microwave line of sight towers from NY all the way to Chicago, the NY Fed has decided it needs to be present on location in the windy city to buy up every ES contract and reverse the selling momentum when the day of reckoning finally hits.

But what does that mean for Citadel? Well, considering Ken Griffin has more pressing issues on his mind, we can understand why Bill Dudley is suddenly concerned the NY Fed's orders may get less than optimal "best practice" execution, and thus the need to finally get the Fed's hands wet. After all, by now everyone knows the Fed is directly and indirectly manipulating and intervening in markets on a daily basis, so why not.

As to just what specific skills the NY Fed is seeking as it builds out its HFT practice on the ground in Chicago, here are the two indicated positions with which the expansion is set to start:

Markets Group - Policy & Markets Analysis Associate – Cross Market Monitoring

 

Primary Location: IL-Chicago
Full-time / Part-time:  Full-time
Employee Status:  Regular
Overtime Status:  Exempt
Job Type:  Recent Graduate
Travel:  Yes, 5 % of the Time
Shift:  Day Job
Job Sensitivity Not Evaluated

Job Title: Policy & Markets Analysis Associate – Cross Market Monitoring
Group:  Markets Group
Location: Chicago, IL
Start Date: Summer 2015
 
The Markets Group at the Federal Reserve Bank of New York consists of multiple business areas that fulfill a range of responsibilities, from planning and executing open market operations, monitoring and analyzing financial market developments, to managing foreign customer accounts.

 

Through its analytical and operational areas, the Markets Group:

  • Manages the size and composition of the Federal Reserve System's balance sheet consistent with the directives and the authorization of the Federal Open Market Committee (FOMC);
  • Monitors and analyzes financial market developments for key stakeholders and policymakers within the Federal Reserve System;
  • Monitors and analyzes developments related to financial stability;
  • Supports debt issuance and debt management on behalf of the U.S. Treasury;
  • Provides foreign exchange services to the U.S. Treasury; and
  • Provides account services to foreign central banks, international agencies, and U.S. government agencies.

RESPONSIBILITIES:

  • Monitors, analyzes and reports to policy makers on global financial market developments:
    • Tracks intra-day and longer-term global asset price movements;
    • Interfaces with market participants to obtain context for asset price movements;
    • Analyzes findings and identifies themes relevant to the monetary policy process;
    • Prepares detailed written analysis and presents oral briefings on market developments to officials in the Federal Reserve, the Treasury, and other institutions;
    • Relates developments in financial markets to issues pertaining to financial stability; and
    • Assumes responsibility over time as a Markets Group specialist for a specific aspect of financial markets.
  • Plans and executes transactions in foreign exchange or fixed income markets on behalf of the U.S. monetary authorities, foreign central banks, and other customers
  • Participates in projects within the Markets Group related to increasing the effectiveness and efficiency of transactional business areas
  • Performs related duties as required

REQUIREMENTS:

  • Master’s degree in Business Administration, Economics, or Public Policy and a minimum of one year relevant work experience in an analytical capacity related to global financial markets
  • We will consider recent graduates/current students and those with up to 5 years of relevant work experience
  • Demonstrated analytical skills, including knowledge of financial instruments and financial market structure, macroeconomic theory and monetary policy
  • Proven ability to provide concise, articulate and insightful economic analysis in written and verbal form.
  • Ability to analyze complex market issues, make sound decisions and respond under pressure
  • Ability to work productively in a high-performance team atmosphere and as an independent analyst
  • Must adhere to area specific financial disclosure requirements

... and a European-focused plunge protector:

Policy & Market Associate - Chicago-237531

 

Primary Location: IL-Chicago
Full-time / Part-time: Full-time
Employee Status: Regular
Overtime Status: Exempt
Job Type: Experienced
Travel: Yes, 10 % of the Time
Shift Day: Job

 

The Markets Group at the Federal Reserve Bank of New York is responsible for the implementation of monetary and foreign exchange policy, providing payments and custody services to foreign central banks, and auctioning and issuing Treasury debt as the fiscal agent for the U.S. Treasury.  As part of these duties, the Market Operations Monitoring and Analysis Function (MOMA) within the Markets Group executes transactions in the open market and conducts detailed analysis of financial market developments in support of the monetary policy decision-making process.

 

The International Market (IM) Directorate within MOMA is responsible for providing in-depth analysis of global financial market developments and international policy matters that contributes directly to the broader analytical work conducted by the Markets Group specifically and the Federal Reserve System more broadly. The Directorate also has many operational responsibilities, including executing U.S. foreign exchange policy and foreign exchange customer transactions, managing the U.S. foreign exchange reserves, and managing foreign exchange swap lines with foreign central banks.

 

The IM Directorate is currently seeking a Policy and Markets Associate to produce high quality analysis on global policy and financial market developments that contributes directly to the broader analytical work conducted by the Markets Group specifically and Federal Reserve System more broadly.  This position will focus specifically on the euro area, but may include some coverage for other regions.  Applicants should be familiar with matters relating to international economic policy frameworks and global financial markets analysis, and should be able to develop and convey their views in a concise manner, both verbally and in writing, to senior policy makers throughout the Federal Reserve System and U.S. Treasury.  The candidate will also be expected to participate in the myriad of operations under the Directorate’s purview.

 

Responsibilities

  • Prepare analysis of global financial market developments with a focus on the euro area.
  • Convey and develop views to senior policy makers on such topics through daily and/or weekly written and/or oral briefings.
  • Collaborate with other Groups within the Federal Reserve Bank as well as other Federal Reserve Banks within the system as well as the U.S. Treasury in related areas.
  • Collaborate with other central banks on relevant policy initiatives, information exchange on financial markets, domestic policy developments and reserve management.
  • Remain current on relevant economic and finance literature and financial markets and developments pertaining to monetary and foreign exchange policy frameworks and approaches.
  • Develop contacts within the global financial community, including with investment banks, central banks and other policy institutions such as the U.S. Treasury and IMF.
  • Learn and conduct the broad range of the Directorate’s operations, including related to foreign reserves management, foreign exchange transaction and foreign exchange swaps.

Requirements

  • Post-graduate degree in economics, finance or a related field.
  • Minimum of 3 years’ experience analyzing financial market developments and/or international policy issues.
  • Strong written and oral communication skills that will enable the candidate to convey their views to senior policy makers in a clear, concise and consistent manner.
  • Strong interpersonal skills to interact and collaborate effectively with peers, subordinates, senior management and external parties.
  • Operational experience not required, but candidate should have strong attention to detail.
  • Ability to represent effectively the business area and the Bank, as appropriate, on issues related to global financial markets.

Finally, and we assume this was done in very good humor, the Fed is also hiring a Risk Management Specialist.

About time?

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IronShield's picture

I hear the building doesn't have windows!

strannick's picture

And it's own microwave tower 

X.inf.capt's picture

Geez...

the elite sure are getting scared...

too bad their carnival just doesnt fold its tents and move on...

NO...there here for the long haul...

and the people will regret their inaction today....for tomorrow is not looking very...

sunny... 

TeamDepends's picture

Move to sunny Chitcago! A crimeless gun-free zone where the spirit of the Constitution is embraced whole- heartedly....

strannick's picture

And where the ammoral Mayor will explain, when the shtf, how you should never let a good crises go to waste

NoDebt's picture

I home somebody from ISIS gets the job.  One "allahu ackbar" and BAM!  Down goes the S&P, and the global financial system along with it.

knukles's picture

I Like the position opening of Risk Manager, the best.
"Oh, the irony of it all" to paraphrase the Hindenberg reporter as it fell, flaming, to the ground

remain calm's picture

Odd, no mention of Gold supression objectives.

Bangalore Equity Trader's picture

"recent graduates/current students and those with up to 5 years of relevant work experience"

Listen.

Freshers are "EASY" to train and are desperate to start paying off student loan debt.

Manthong's picture

What other words besides "buy" do qualified candidates need in their vocabulary?

Escrava Isaura's picture

 

Meaningless Title 

The Plunge Protection Team Is Opening An HFT-Focused Chicago Office

 

What the title really mean is:

The Neoclassical Economics is Opening An HFT-Focused Chicago Office

 

Full Disclosure: And by doing so, it’s extending Neoliberal policies 

 

 

trulz4lulz's picture

Im just hoping Ken Griffey takes the risk management position, he was great for the Mariners.

CrazyCooter's picture

XIC, if you apply arithmetic and gumption to the global energy outlook you can make some very easy predictions. This clown car is almost out of gas and by clown car I mean the current global economic arrangement of production and consumption.

I presently look at the market manipulation as the new face of price controls. Consider that if the market really price things like money, commodities, etc, then this shit show would have been over long ago. This is the same objective held by almost every ruling class of every failing empire.

But, if prices are dislocated too much, there will be over or under supply (i.e. surplus or shortage). Consider if the price of oil was priced too high; demand would collapse and price would want to fall. But if the elites are propping it up, it takes energy and the price still wants to fall. In reverse, if the price of oil is being held too low, producers (in a free money environment) can't make ends meet and supply goes offline pushing up the price. Again the elites have to apply force to keep price down.

The HFT and other blantant manipulations are partially skim operations, but they could easily be an arrow in the quiver of a much larger strategy.

I think the elites are behind schedule on firing up their big war, so they are doing double time to keep the charade going until they can pin it on a "bad guy". But it is coming one way or the other ... and when it does I don't think most people are prepared for the change in lifestyle that will set in very quickly.

Regards,

Cooter

EDIT: Adding a relavent Corb Lund link for the interested. :-)

http://www.youtube.com/watch?v=5uASQgLwaIs

X.inf.capt's picture

COOTER!

how you been, troop?

how teaching in alaska?

glad to see some old timers still here....

ive also have seen bearing and chumba...

this place isnt what it used to be'''

too bad...

CrazyCooter's picture

Doing good sir! :-)

I don't teach (might have confused me with someone else) but AK is amazing. Cost of living is nuts up here, and I had a rough spot for quite a while (full time gig and two part time gigs for a while to hang on), but things worked out.

Finally had enough money to piss away on fishing this year. Too poor to buy a boat, so doing stream fishing and shore fishing. There are a lot of places, but carrying a bunch of dead fish through the woods full of bears takes a bit more balls than I had this season, so it was mostly fishing and not catching. If we can find another couple to fish with us I think we can get away with more remote locations (much safer in a "pack"). Going to try to get the wife hooked on going to the range so we are better geared next season (side arms are for two legged predators, we carry mace for four legged ones).

Ended up buying fish for the winter, but we are stocked up pretty good on rice, flour, and meats. I am ready for snow!

I will say, having lived up here a while now, humans are dirty. Only at this stage of my life do I realize how beautiful America (and the world in general) must have been in the begining. I don't think I could ever live in a city again and not feel depressed.

The comments aren't all bad, just have to sort through the shit, which is life I suppose. I think folks tend to post less rather than go away completely.

Hope you and yours are doing a'ight!

Regards,

Cooter

 

X.inf.capt's picture

were doing good, troop!

we're just getting ready for this coming war, getting stocked up on essentials, like TP, for its going to get deep...

glad im retired, for i dont envy the guys i served with in the 80's as an EM who are still in...my old roommate in germany in 85 just retired out a few years ago as the division CSM of the 1st ID...and he's glad he's out, for his old troops just dont like the feel of whats coming down the pipe....and my old captain is now a MG, i dont envy him at all having to deal with this...

their spidey senses are telling them 'something bad cometh this way, and its not going to end with 'happily ever after'...

its time to dig in, bro...stay warm...

Bloppy's picture

Which esteemed Regime retreads will inhabit this new Keynesian Kave?

 

Meanwhile, MSNBC keeps us distracted by interviewing polar bears:

 

junction's picture

More federal patronage jobs for Rahm Emmanuel's dimwit distant relatives. 

OldPhart's picture

The supply closet has a dozen nail guns, though.

TahoeBilly2012's picture

Masters in Business to switch on an algorythm.

Global Hunter's picture

How many offices in how many cities does the Fed need to have some MonkeyBA hit the buy button (or switch on an algorythm as you mention)?

Jayda1850's picture

Alot more than I actually thought. Drove past the Baltimore branch of the Federal Reserve bank of Richmond the other day. Only noticed it because of the wrought iron fence around the place, but made a mental note of its location for future reference.

Global Hunter's picture

Baltimore?  I wonder if they actually do anything in there or if its a make work welfare project for Ivy league kids.  +1 for taking a mental note :)

Jayda1850's picture

From their website:

Our diverse staff is a vital part of the Fifth District. We supply coin and currency to financial institutions and work to maintain stability in the financial sector throughout our region. We work with the media to provide information on the local economy and with teachers and students to provide economic education resources. We also work with local elected officials and non-profit organizations to support fair housing initiatives throughout the Fifth District.

So they are tasked with propaganda and propping up the failing housing market.

 


yogibear's picture

When the time comes flag it as an important place for the mobs to visit.

LawsofPhysics's picture

LOL.  All those stawks and bonds are going to all time highs.  Unfortunately, the paper that they are all priced in will be completely fucking worthless....

 

Unlike the last "market" crash, this time it will be a global event.  Awesome.

Al Huxley's picture

...but first, the golden age - stocks up, bonds up, dollars up - as long as you're not one of the struggling 80%, it is the best of all possible worlds.  And if you to happen to be a prole, well, the 2 minute hates are new and improved almost every fucking day, they've never been more exciting and stimulating - did you catch the latest beheading?!  Damn those terrorists, it makes me so mad I just want the government to go over there and bomb them indiscriminately!

Al Huxley's picture

It's actually kind of interesting to see the formal job qualifications required to get into the new High Priesthood of global financial manipulation.

CrazyCooter's picture

Don't read too much into it, the real requirements (i.e. choose your grandparents wisely) haven't changed.

Regards,

Cooter

yogibear's picture

Hire more government workers for the PPT to distort the wealth further.

As if the Fed and the government didn't mess up the economy enough.

More debt, doubling again soon enough. Outsourcing more and putting unemployed in part-time jobs or on welfare.Flooding more immigrants to increase job competition and reduce wages.

Any debt to stimulate the economy works mostly to improve overseas economies nowadays, with little bang for the buck in the US.

RaceToTheBottom's picture

Will a stint cheating at cards in Vegas qualify as experience?

insanelysane's picture

Overqualified.  We just need you to keep hitting BUY.

Unfortunately we were unable to retrain the people that just needed to PRINT in the old days.  We just need to BUY and then send some digital fiat to the sellers.

- Fed HR Dept.

KnuckleDragger-X's picture

Wanted; poo flinging monkey who can follow orders, must be extremely near-sighted.....

All Out Of Bubblegum's picture

So glad to see that the banking families are making such a huge success of their business.

"Shall do our best to make the business successful." -Rothschilds, 1878

http://unicornpoo.wordpress.com/2011/10/27/very-pleased-we-have-entered-...

lasvegaspersona's picture

because when the shite gets deep every picosecond counts??!!

Amish Hacker's picture

Question: the Fed buys futures and equities and Treasuries and whatever else, while foreign CBs buy a ton of equity ETFs, and so on. How do they plan to unwind all these purchases? 

FreeMktFisherMN's picture

they don't. This is what usury winds up as; total ownership and control. It is a monopoly not like a de facto monopoly in the free market where a business is so good at what it does it is dominant; this is a monopoly ordained by the government to issue the sole legal tender in the land (alternatives are taxed heavily and people go to jail for using PMs). 

QE is no different than a major auctioneer on ebay listing a bunch of an item it has the monopoly on, and then bidding for said item, to conjure 'demand'. iti s a ponzi, and they need more debt infusions to perpetuate the game. 

At the end of the day the referendum on all this will be the real economy. Everything can look rosy on paper due to the manipulations in the markets, but there won't be enough real goods and services to cash all these promises. Real wealth cannot be printed. It is a giant game of musical chairs of incredible fragility. 

LawsofPhysics's picture

Correct, and once the oligarchs behind this "let them eat cake" monetary policy try to maintain this in a resource-limited world, the people lose faith fairly quickly. They will do whatever they need to do and real wealth seeking will start occuring everywhere.

In fact, I see all kinds of economic activity going on outside the eye of the taxman already.

Such monetary experiments always end the same way.

SillyWabbits's picture

The world is round, so if follows that global business practices cannot possibly be on the square!

SillyWabbits

 

“There are some ideas so wrong that only a very intelligent person could believe in them.”

George Orwell

HUGE_Gamma's picture

actual job requirements..

 

  • undergrad from top 10 school 3.9+gpa
  • graduate degree from top 5 school 3.9+gpa
  • CFA, FRM, CPA, CFP, and CAIA
  • FINRA series 1,2,3,4,5,6,7,...xth
  • prior experience at GS/MS
  • big swinging dick
  • jewish
NoDebt's picture

I was really close on that until the end.  And the middle.  And the beginning.

optimator's picture

Corrected it for you:

 

  • jewish
    • undergrad from top 10 school 3.9+gpa
    • graduate degree from top 5 school 3.9+gpa
    • CFA, FRM, CPA, CFP, and CAIA
    • FINRA series 1,2,3,4,5,6,7,...xth
    • prior experience at GS/MS
    • big swinging dick
    • connected

T-NUTZ's picture

shovel-ready jobs!

ekm1's picture

You are still not listerning to my pontification, though I get proven correct day after day

 

What part of Central Command is not clear enough

 

It is very simple:

If the Central Command wants Dow to be at 30k by end of October, no biggie, write algorithm for it and override the system. NSA controls the whole system and overrides any time it gets the order from Central Command.

 

This is very simple.

When the central command gets the order to implode the system, then it will save only few oligarchs. The other oligarchs will simply become poor, or assassinated if they refuse to.

This is normal course of history, nothing unusual.

 

Either surrender, or die.

I hope they surrender, and nobody dies, like Lehman, bear stearns and MF global oligarchs did.

Nobody can reverse human history.

 

Again sheeple, keep thinking that there is a market, keep thinking that humans are buying and selling, keep thinking that retail will be back, keep thinking that economy is getting better, keep thinking that centrally supplied reserves can replace food and energy.

 

The system cannot drop. The system can only crater and crater it will

This is 1987 + 2008 scenario and it is inevitable, otherwise, world stops shipping energy and goods to USA.

You can still keep not listening to my pontification.

Chuck Knoblauch's picture

Working on creating AI that can lie like a human?

It may already be operational.

 

Cautiously Pessimistic's picture

So the MINIPLENTY is on a hiring spree?

 

This should help with jobs numbers we hear so much fuss over....

 

FORWARD!!!