Dave’s not buying what they’re selling. Then again Dave’s missed opportunities before. Quotes from the interview; “John Corzine goes big,” “Corzine and Flowers are thick as thieves.”
How much exactly will governments benefit from getting their piece of the high frequency trading pie? Why reinstate the uptick rule and restore price discovery when you can simply jump in the thick of things with the high frequency thieves and take down your share of the scalping of buyers that goes on everday. The last thing governments want to do is to reform high frequency trading. What they want is their cut of the action through the Volcker Rule.
How much would it be worth to the U.S. Government and other governments that will follow suit, if Corzine’s long bomb results in passage of the Volcker Rule. In this article, Harald Malmgren promotes the Tobin Tax. He’s Pippa Malmgren’s father who teed things up for Corzine on CNBC just a month ago (see the post below). Who else but CNBC shows up as one of MFGlobals biggest creditors in the bankruptcy filing: http://www.ft.com/intl/cms/s/0/39051e9c-e83c-11e0-9fc7-00144feab49a.html#axzz1cRtwqocD.
What’s particularly interesting to Dave is that Harald Malmgren’s colleague and co-author is Mark Stys who was the chief product architect for Sir Allen Stanford. How close was Stanford to money laundering for the CIA and the Mexican drug cartels? You have Google, figure it out for yourself.
Bloomberg brings the story full circle by holding MFGlobal out as the poster child for reigning in the high frequency world through what else, but a new tax: http://www.bloomberg.com/news/2011-10-31/mf-global-exposes-prop-trading-risk-that-volcker-wants-to-curb.html