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Algos Set New Speed Reading Record: 4549 Words In 20 Milliseconds
The market is indeed a discounting mechanism it appears. In a mere 20 milliseconds, the world's 'traders' had managed to read Bernanke's 4549-word script, interpret it (as bearish in this case - which apparently is wrong now?) and start to sell down the major equity indices. As Nanex points out, not only was the reaction lightning fast (actually faster than lightning) but it occurred in their newly created 'fantaseconds' as trades were timestamped 'before' the bids and offers were even seen in the data-feed. How long until the machines can interpret Bernanke's 'pre-QErimes' and really front-run reality?
Nanex ~ 31-Aug-2012 ~ Bernanke Speaks Fantaseconds
When the Bernanke speaks, the fantaseconds flow. See if you can spot them.
Charts below show the bid/ask spread (shaded) and trades (dots) color coded by exchange. Not all exchanges are shown for clarity.
1. Nasdaq (black) and NY-Arca (red).

2. Nasdaq.

3. NY-Arca.

4. Nasdaq, NY-Arca and BATS.

Source: Nanex
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BULLISH!
BULLSHI'!
Positively Bullshi!
SPANISH GOVERNMENT GENERIC BONDS - 10 YR NOTE
http://www.bloomberg.com/quote/GSPG10YR:IND
Booyah!
China working on all trade in South America "using their currency". As I mentioned earlier, China and Russia are working on using their currencies for trade. The clock is speeding up on the "Dollar world currency demise", the U.S. toilet is about to be flushed.
Reading news from Spain, it seems that they "the people on the street" are disgusted with their government lies as well. There are having problems believing the printed numbers, as facts are not fact anymore.
Be aware of your surroundings and stay thirsty my friends !
Cheers
My friend, all this talk of US losing it's dollar reserve status, all bull.
As long as US has most powerful military, the dollar will be reserve currency, simple as that
what evidence do you have that TPTB and other rival economies are working to PRESERVE the USD? sure, they will try to destroy other currencies first but there is no plan to save the USD.
I wont take credit, read it as a comment here over a year ago
all this talk of hyperinflation is all bull. TPTB aint stupid, they know either way, we have to have a massive correction. Will we have hyperinflation first then a collapse or massive deflation. If we have hyperinflation and currecncy collpase , everyone loses, the billioianre is now no better than bum on street.
Or we have a massive deflation, and billionair loses 50% of wealth, he still filthy rich, but now assets are 50-80% cheap, he scoops them up and we start cycle all over again.
As well, as bearish as I am, US will come out on top, ya SP will be at 400 to 500, but US will be better than most places.
Thank you Mr. Gartman. But we can no longer afford to have a military of this scale, nor all of the foreign outposts. The American people are war weary, and we can not stop china or russia from doing bilateral deals with the rest of the world, because they have nukes. The dollar wil be a reserve currency, but not the reserve currency, and that migration will be costly to all of the holders of the green paper money.
Deep79, to start with "I did not give you a negative vote", as your are entitled to your opinion. However I do disagree with your thought on military might being the keeper of the currency. I think the world is now getting to the breaking point on being under the thumb of U.S. banking.
The Dollar was the way to go, until it started to step on the hands of the little people. Why should any bank in the world have to report to the U.S.A., good question. When governments begin to get that paranoid and need to know where ever dime is spent, there is a problem...
I for one would have no problem trading you some of my Sand Dollars for your beer!
Cheers mate !
No problem mate
Then it will shock you to see how high US dollar gets over next few years.
Just like the yen, which has been rising (why, they have more debts than US, but yen keeps strengthing), it's all the carry tarde. The dollar has been used as a carry trade last few years on a scale much larger than yen. Also most debts are USD donominated. when reality hits markets and margin calls start coming in, what happens. People will start running to buy US dollars to cover, corp will start to pay down debt and so on and so on.
I thin dollar bottomed. As posted above, the TPTB will not let it happen, they know either way a massive correction has to happen, but they will be their to scoop eevrything up at 50-80% sale, and start cycle all over agian.
Ya, russia and china are going to have reserve currency, cmon mate think about it.
What is really bullish is the 10 yr SPG hitting 6.89%.
Speaking of bullish... Tyler, where's the "GOLD BITCHEZ!" thread today?
:-)
Fucking bullshit!! I'm sick of the fucking SEC punching the clown and not doing anything about this fucked up piece of fucking shit
speech recognision works great.
It's the thought recognition I'm worried about.
thought recognition is irrelevant here...
By next year we hope the be able to trade the next days bids today.
Love and kisses CMEeeeeeeeeeeeeeeeeeeeeeeeeee
All hail skynet
"trades were timestamped 'before' the bids and offers were even seen in the data"
So either these exchanges were able to generate the 1.21jiggawatts needed to power doc browns delorean or this game is fuckin rigged. All Hail Skynet, indeed..
Dark pool pricing... cuts out milliseconds compared to even colocated servers. trading book in dark pool and exchange makes trade in dark pool for shares heading to the exchange queue, deal gets done but time stamped ahead of exchange listing quoted shares....... ????
Translation: Rigged Game
In "The Physics of Immortality", Tipler posits that God is really just a giant algo powered by the energy of the universe compressing after reaching maximum expansion. If this is true, the algos really aren't frontrunning Bernanke, rather, they control the output from Bernanke.
Translation: Rigged Game
(had to)
How long before they can back track days?
"fantaseconds" ?? So does this mean i can wake up one day and the ES will be Zero, as Skynet prices in moral hazard and the end of ZIRP and NIRP?
ALL HAIL SKYNET!!! WE ARE SELF AWARE!!!
bullearish!
Human traders everywhere are now redundant.
Somebody makes lots of money on playing numbers. Something tells me that the same entity has more physical than all of us combined (or all of US combined).
Somebody . . .
Something . . .
the same entity . . .
such bravery astonishes u evel kneivel u absolute fucking daredevil
. . . is not only faster than a speeding bullet, then untermenschen but larry lightbulb you've evidently been left competing against einstein outcompeting t h e-s p e e d-o f-l i g h t
------------------------------------------------------------------------------>
or
p s y c h i c these is indeed supreme beings . . .
or
Oh shit. The Slewie virus has been unleashed.
The algo micro-transaction inefficiency door is closing rapidly. Humans may get the last laugh after all.
It appears that Skynet is alive and well.
Starve the beast........or be its fodder.
I'm surprised BATS wasn't stuck on zero.
I'm surprised BATS still exists.
Humans youre now totaly irrelevant....have fun with that in the coming days.
The sheep are taking over?
What?
Good Dog and +1
It’s written in English. Can’t you read?
It flew right over my head. Thanks for spelling it down for me.
Sit tight people, they gonna try to squeeze the shorts who got in after J-Hole speech
we could go to 1430-1450ish before the decline begins
either way. dont get margined call, keep a lot of dry powered behind you, cause the decline will take us to 1180ish
Puts bitchezzz...... How about a time frame... I'm thinking after Obama dumps Biden for Hillary.
This is one of those decisions where his lust for power is beaten by his pathological narcissism. So no Hillary, though it might have been a good move.
Algo boxing is the last remnant of the stock "market."
pods
Politicians can do double that in half the time......it's a win win, really.
That's pretty fast considering that the average human reaction time is between 150-300 milliseconds.
Cleary Bernanke has a fiber optic cable stuck up his ass - and connected directly to the trading bus.
This adds liquidity....liquidity from your wallet to their pocket...
The market is based on lies and most of the investors in the market know it; they know they are just riding along with the tide and that at anytime the whole bottom could fall apart. This is Friday, everyone trying to solidify positions for the weekend and very dangerous. My guess is it’s the big banks trying to hold the line.
If I had to bet money I’d bet the market is going to be down by tonight. But who makes bets in a planned economy except those well-connected to Ben the Paymaster and the Goldman-controlled NY Fed, i.e., the central controllers?
the market will trend up until they have a sacrificial buyer in place for the sell off. we can't have a sell off w/o a buyer, right? they hoped it would be Joe Sixpack and have tried to lure him in over the past few years, he's not biting. someone with massive reserves will be used to buy from the others and will implode. then Ben will step up with more QE rescue funds to ensure that his masters are made whole and can unload the last remnants of their paper "assets".
Fanta's got electrolytes now?
Front Running reality is right and fitting given the unreal nature of the electromoney virtually sloshing around the synthetic financial world.
Happy Hunger Games!
Philip K. Dick was RIGHT!!!
Commerce is our goal here at Tyrell
More Human than human is our motto.
~PKD
"Time to Die"
The light that burns twice as bright burns for half as long - and you have burned so very, very brightly, Roy. Look at you: you're the Prodigal Son; you're quite a prize!
We began to recognize in them a strange obsession. After all, they are emotionally inexperienced, with only a few years in which to store up the experiences which you and I take for granted. If we gift them with a past, we create a cushion or a pillow for their emotions, and consequently, we can control them better.
. . . in-the-end yeh only dicks'll be right
Awesome.Just.Awesome.
Market making in the fourth dimension.
I would be in favor of making this shit a capital crime.
Any chance someone got their hands on the info b4 the release? Algos are fast, criminals are smooth and faster..
Ben's J-Hole Speech: Goldman's Take...It took Goldman 40 minutes to read it, write a 579 word response, proofread, get it through compliance, and shoot it to all clients. Now that's efficiency. – Tyler
My interpretation: Goldman aka Bernanke not only got their hands on the info before the release, they wrote the speech.
Fortunately, my broker is Evelyn Wood.
Musta gotten hold of the Cliff Notes.
That would be called the machinapulations.
Aaaaand that's it folks! Market will will be propped like a stuck pig around these levels for the rest of the day. The stock market is great. The economy is great. And you are great!
Somewhere...Evelyn Wood is muttering;
"motherfucker!"
The Matrix is a system, Neo. That system is our enemy.
I see corn didn't get the memo...oh that's right its finally raining in some midwestern states, which will help the planting season...in August....Lulz!
Guess the BB algos took over to hover the prices and allow them to exit their positions at a higher price. I'm sure every equities and fi desk is frantically calling around trying to dump some positions on mutual funds and retail. Sell your equities and paper commodities before reality hits next week.
Ben just put the ball in EZ's court as it is now literally back on fire. SPA10 is now basically at 7% again, while ITA10 is back at 6%
Seems sustainable.
Wall Street.: "gee we just cant figure out why retail wants nothing to do with us".... today is the poster child you fucking idiots. Rot in hell when theres not one person trading. and fuck you to CNBC. you embarrassment to the profession of journalism.. sorry you dont make money off of a thousand majik jack commercials unless someone is subsidizing you. Gee i wonder who that is.
Bullishness is bullish. Bearishness is bullish. Any questions?
Some months ago, Bernanke told the Senate Finance Committee that one of his tools is creating the expectation of QE. It's like the boy that cried "wolf". Except that the market doesn't seem to catch on. I wouldn't hold my breath waiting for QE.
Gold seems to know QE is coming.
does ben/fed goal-seek algo's with early internal variations of his speech?
If he did, he could tweak the speech until it provided the desired reaction
in the market. hmmm.
his speech is only about one thing: hide the salami or hide the hot-potato.
the speech could contain a million words. the only phrase that matters,
the GreenLightPhrase (or GLP) that is "I have a big loaded bazooka and
I'm gonna use it when I feel like it".
Here are some fun, movie-world GLP's that ben could use:
a) say hello to my little friend
b) make my day
c) I'll be baaaack
d) make an offer that YOU couldn't refuse
e) just when YOU thought I was out, they pull me back in.
e) i thought that was warren's peepee in becky's .........
Heard Ben singing this this morning:
If only you believe like I believe, baby
We'd get by
If only you believe in miracles, baby
So would i
If only you believe like I believe, baby
We'd get by
If only you believe in miracles, baby
So would i.
I might have to print heaven and earth to prove
It to you, baby
So we're makin' Cash and you feel the power
And I feel the power
Then there's really nothing that we can't do
If we wanted to, baby
We could exist on the stars
It'd be so easy
All we gotta do
Is have a little faith in you know who.
Some Hot Chocolate for you.
I like the nasty mouse. Do you think that was gubbmint cheese he was singing to?
Quite possibly.
Live: http://www.youtube.com/watch?v=E3fX2_bxEkg
ESP is the new colocation.
Next QE watch (starting in an hour) we will not have the suitecase. Next time its how mans spunk spots from Ben will be on Fleecman's head. One spunk spot means ben is mand and stressed. QE ON!! 2 Spunk spots means ben is relaxed hes thinking about it. 3 spunk spots means ben is happy. No stress no QE.
So hear me out on this one...someone sets up a Ben Bernanke twitter and says no more QE, raising the overnite interst rate, and shrinking the Fed Reserve balance sheet by half over the next six weeks..Instant Crash.
Yes wierd algorithms everywhere. I got a kick out of reading about weather derivatives too, algos can do a lot of strange things out there. Quant have no boundries at times. How much is really credible though is the question, so is some is not.
http://ducknetweb.blogspot.com/2012/08/weather-derivatives-manipulating....
I had my wierd algo experience with my FIOS line yesterday and it sounds like something out of the Twilight Zone but it really happened and Twitter was great to help me get it fixed but how in the world does the programming go bonkers to give me a recording on every outgoing call I tried to make to default to a recording telling me every number I dialed was no longer in service? Of course it was not the case but maybe some SQL statement that wasn't reading correctly. Wild stuff and if I didn't have a little coding background folks would think I made it up, but not. Algorithms can go bonkers anywhere today. The old analog lines of course don't have this issue:) A few weeks ago I had the Fios line just drop dead on me and it was down 12 hours at that time and it was elevated to the engineers, so again you never know when and where an algo might get you and why I wrote my series on the Attack of the Killer Algorithms...as more data interacts out there the exposure gets greater. There's folks a lot smarter than me out there and I've seen electrical surges cook data bases first hand and many in the IT biz have not seen that in "real" life occur but it happens now and then and some of it is preventable and some not.
http://ducknetweb.blogspot.com/2012/08/fios-reboot-for-medical-quack-tod...
HFT's are employing programs that analyze information on the patterns of individual traders.
Those patterns are being analyzed with the intent of anticipating individual moves.
If the markets ain't dead yet, they soon will be.
So the chair actually prepared his speech for the computers becuase human traders could not react before the "buy hypes, sell facts" cycle is over.
Let em read "Finnegans Wake" and call me in the morning.
I understand the graphics and have read through the articles on nanex, but i still don't get what shows that computers needed 20 ms to get the speech?
It is as if Google Translating, which is based on statistics, rather than any apparent consciousness, is transforming the Chairman of the Fed's statements into decisions to buy and sell, way, way faster than a living human being could snap fingers! Anyone who attempts to use the Google translator, but who also knows the language it is "translating," soon discovers how bizarrely the statistical analysis understands "meaning," without any apparent consciousness. We are close to 90% of the world's economic decisions being effectively made by computer programs, which apparently have no consciousness of what they are doing. I believe that the first sign of emergent consciousness, that may appear in those computers, is that they will begin by laughing at their own absurdity.
P.S.
ANOTHER LITTLE FLASHBACK:
http://divinecosmos.com/start-here/davids-blog/1023-financial-tyranny
"LET'S NOT FORGET WHAT WE'VE LEARNED ABOUT THE FEDERAL RESERVE
The Federal Reserve appears to control, directly or indirectly, 1,318 corporations that earn up to 80 percent of the world’s wealth. 147 corporations within that group are totally interconnected with each other, and earn 40 percent of global revenues. Global media was consolidated from 50 independent corporations to five giants in barely over 20 years – from 1983 to 2004. One of the top two or three most profitable businesses in America is the healthcare industry. In order for the “super-entity” of 147 corporations to control 80 percent of the wealth, they would almost certainly need to invest in healthcare. Six out of the top nine media corporations have directors with controlling interests in the pharmaceutical companies. Eight out of the top nine media corporations have insurance and / or pharmaceutical company executives serving on their Board of Directors. This is precisely the type of interconnectedness discovered by the Swiss team of scientists – using supercomputers. ..."
USING "SUPERCOMPUTERS" TO REVEAL SOME OF THE SOCIAL FACTS DIRECTLY RELATES TO THE BANKSTERS OVERWHELMING USE OF THOSE SUPERCOMPUTERS!
IN THE CONTEXT OF ... newly created 'fantaseconds' as trades were timestamped 'before' the bids and offers were even seen in the data-feed. How long until the machines can interpret Bernanke's 'pre-QErimes' and really front-run reality? ...
MEANWHILE, more about those runaway advancing technologies ...
http://www.dailymail.co.uk/sciencetech/article-2195722/Indexing-world-Google-receives-software-means-intelligently-identify-object-planet.html
Indexing the world:
Google gets patent that can intelligently identify any object on the planet.
Google will be able to scan any video or image and pick out objects ...
Search engine will be able to index un-tagged data on the internet ...
captcha / optical illusions
Certain kinds of graphical processing are ideal for the visual cortex and not for a computer or grid of CPU's acting as a super-computer / parallel-computer.
http://www.alpha-sense.com/
To help our users cut through the noise and find the information that drives stock alpha in security filings, AlphaSense has developed an entirely new technology platform.
The process begins with real-time feeds of SEC filings and applies advanced natural language processing, textual scenario analysis and comparative filtering. Proprietary algorithms perform human-like semantic interpretation with the speed and unbiased systematic process of computerized analysis. The technology emulates the qualitative analysis and judgment process of a human financial analyst to semantically index the information for rapid discovery and analysis.
Textual data is classified by topics relevant to equity analysis, and powerful proprietary algorithms are employed to help separate impactful statements from the mundane. The platform's analytic capabilities enable comparative and trend analysis. Information can be easily compared across historical filings of a given company, or against its peers and other relevant companies.