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Trader Who Shook Global Markets

With no ties to the world of high finance, Sarao accumulated $70 million buying and selling futures as if he were playing a computer game. The bulk of his winnings came during periods of extreme volatility. He also manipulated the markets, according to the U.S. government, creating a computer program that placed then canceled huge volumes of orders to deceive other participants about supply and demand—a brand-new offense known as “spoofing.” Authorities were careful to assert that Sarao’s antics had only contributed to the crash, essentially by creating false signals others reacted to, but that nuance was lost in the ensuing press coverage.
new-book-shares-more-details-on-trader-blamed-for-flash-crash
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