CNBC’s intrepid Eamon Javers just tweeted this a few minutes ago. It shows three quick burst of gold trades, all downward movements, taking place 62 milliseconds before the release of the jobs numbers at 8:30 this morning.
I’m not sure what to make of it, but it looks an awful lot like some gold traders have found a way to get the jobs number at 8:29:59:838. The better-than-expected payroll number led them to short gold which is down 2.4% so far today. There could be other explanations, but I can’t think of them.
Source: Eamon Javers, CNBC
Update: Here’s a Javers piece from earlier this week about a similar mishap involving millisecond trading advantages caused by clock synchronization issues…fascinating and problematic stuff at the cutting-edge intersection of information delivery and automated trading.