Part 1/10:
The Rise and Reckoning of High-Frequency Trading
On February 5, 2018, at 3 p.m. local time, the Dow Jones Industrial Average witnessed a catastrophic fall, losing more than 1,500 points within minutes. This unprecedented drop, amounting to about $2 trillion evaporating from the markets, ignited panic both in New York and across major cities worldwide, including Frankfurt, Sydney, and Tokyo. The cause of this financial turbulence was perplexing; traditional economic indicators offered no clues, leading to speculation that the failure could be attributed to the rapid, automated nature of high-frequency trading (HFT).