Flash Boys Invade Bond Market in New Era of Volatility

The video discusses the recent extraordinary volatility in the US Treasury market, highlighting the largest fluctuation in a quarter century. It explores factors contributing to this volatility, such as traders' positioning, the role of derivatives, and changes in Wall Street's market structure. The impact of electronic trading and high-frequency trading on market dynamics is also examined, emphasizing the growing role of algorithms and the challenges faced by traditional dealers.

What role does electronic trading play in the current Treasury market dynamics?

What is the impact of high-frequency trading on Treasury market volatility?

In what ways are traders hedging against potential rate rises in their fixed income portfolios?