UK trader arrested for May 2010 U.S. Stock market flash crash

Does anyone have the full TradersAudio clip from that day? If I remember correctly, Goldman (among others) was extremely active on the bid.

One guy didn't spoof the market out of 1,000 points lol. Who are these guys kidding?
 
Pekelo said:
He is a miser, so money meant everything to him. Being in the market for seconds only is the opposite of fearless...
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He did it hundreds times a day. With how many cars, a few 100? It's not like he quit for the day after he made 500 bucks, like some pantspissing ET-legend.
 
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athlonmank8 said:
Can't wait until his book comes out.

In fact, Jack Schwager really needs to interview this kid
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Make that Marketsurfer, at least it will be funny. This should be written like a novel. Jack Schwager is as dry as crumbs.
 
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londonkid said:
Say what you want about regulators and exchanges but ignoring them or being combative is only going to end badly. He made a poor decision to not stop/heavily modify what he was doing when he was contacted.

Perhaps his wealth made him feel above the regulators. For whatever reason he continued after he was told to stop.

As for people calling him a hero, pffft. What he was doing was illegal. Its a shame as he probably had the skill to be very profitable without the illegal spoofing.

A defence of 'everyone was doing it' is no defence. Thats a bit like someone being fined for speeding and saying they should not be fined as lots of people do it. Baseless.

I do feel sorry for the guy though and hope he gets a large fine and token custodial.
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When is somebody going to sue these exchanges for negligence? They could have ended this stuff easily, instead they did zilch because their cronies were wallowing in it.
 
The date of his explanation to "fca" was 2014. Flash crash was years before that. They are grasping at straws here.

What pisses me off is that this kid put plenty of risk out there. Spoofing isn't risk-free. Nothing is.
 
athlonmank8 said:
Does anyone have the full TradersAudio clip from that day? If I remember correctly, Goldman (among others) was extremely active on the bid.

One guy didn't spoof the market out of 1,000 points lol. Who are these guys kidding?
More...

Maybe reality is like this: what is illegal becomes "legal" if you are part of the right club.

Maybe CME takes part in deciding who can join that club and who cannot? That would explain why they do nothing to stop HFT and spoofing.

Like everywhere: money rules the world.
 
i am nobody said:
Maybe reality is like this: what is illegal becomes "legal" if you are part of the right club.

Maybe CME takes part in deciding who can join that club and who cannot? That would explain why they do nothing to stop HFT and spoofing.

Like everywhere: money rules the world.
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That's definitely not a maybe.
 
athlonmank8 said:
Does anyone have the full TradersAudio clip from that day? If I remember correctly, Goldman (among others) was extremely active on the bid.

One guy didn't spoof the market out of 1,000 points lol. Who are these guys kidding?
More...
The CME already issued a statement that gets him off the hook for the collapse. There's a link to it in this thread.

CME Statement Says Flash Crash Not Caused by Futures
Traders Magazine Online News, April 23, 2015

John D'Antona Jr.

It wasn't our fault.

That's the official word from the CME Group, parent operator of the exchange where Navinder Singh Sarao, the high-frequency trader who stands accused of causing all or part of the May 2010 flash crash, executed his trades. The company made the following statement as there is growing sentiment among market participants that the exchange did little or nothing to bring legal or other action against Sarao immediately following the market event of May 2010.

"Nothing is more important to CME Group than the integrity of our marketplace. Following the Flash Crash on May 6, 2010, together with other regulators, we did a thorough analysis of all activity in our markets during the Flash Crash, and concluded - along with regulators - that the Flash Crash was not caused by the futures market. If new information has come to light, we look forward to reviewing it with the Commission. We fully support the CFTC's actions to prosecute those who attempt to engage in fraud or manipulation."

Also, an perhaps most importantly, the exchange operator concluded its remarks by saying it is prohibited by law from releasing information about any individual's trading behavior," such as Sarao's.
"So we are unable to comment further at this time," the press statement ended.

CME operates options and futures exchanges as well as derivatives exchanges in Chicago, and New York City, as well as online trading platforms.
 
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