A New Lens

The Bots Are in the Market: How Algorithmic Trading Skews the Game


Listen Later

In this episode of A New Lens, Wild Will pulls back the curtain on a hidden force shaping global finance: trading bots.

We explore how high-frequency algorithms dominate Wall Street, how their microsecond decisions ripple across markets, and what that means for fairness, volatility, and the everyday investor.


From the 2010 Flash Crash to Knight Capital’s $440 million meltdown, this episode unpacks the rise of automation in trading — and why it might be warping the very system it was built to optimize.


🔍 In this episode, we cover:

  • ​How algorithmic trading bots actually work — and how fast they move
  • ​Why these systems can trigger flash crashes and wipeouts in seconds
  • ​The unfair advantage of speed and access in modern markets
  • ​Market manipulation, spoofing, and the arms race for milliseconds
  • ​What this means for the future of finance — and your place in it


💬 Question to reflect on:

In a market run by machines, what role should humans play to keep things fair and sane?


👁️‍🗨️ A New Lens is a podcast about perspective.

We look at the world differently — through conversations that challenge, reveal, and reframe what we think we know.


🎧 Stream on Spotify, Apple, and everywhere you listen.

#ANewLens #FinanceExplained #AlgorithmicTrading #StockMarket #Podcast



📚 Sources & References

  1. ​Investopedia — High-Frequency Trading (HFT) Overview

https://www.investopedia.com/articles/investing/091114/high-frequency-trading.asp

  1. ​U.S. Securities and Exchange Commission — Report on the 2010 Flash Crash

https://www.sec.gov/news/studies/2010/marketevents-report.pdf

  1. ​The Wall Street Journal — Knight Capital’s $440 Million Trading Glitch

https://www.wsj.com/articles/SB10000872396390444246904577570821259573838

  1. ​Reuters — Flash Crash Trader Navinder Sarao and Market Spoofing

https://www.reuters.com/article/us-britain-flashcrash-trader-idUSKCN0XL1GZ

  1. ​Michael Lewis — Flash Boys: A Wall Street Revolt (2014)

W. W. Norton & Company.

  1. ​Forbes — How High-Frequency Trading Works

https://www.forbes.com/advisor/investing/what-is-high-frequency-trading/

  1. ​Bloomberg — The Race for Microseconds in Modern Markets

https://www.bloomberg.com/news/articles/2013-07-25/the-300-million-fiber-optic-cable-and-the-quest-for-speed

  1. ​Harvard Business Review — The Social Costs of High-Frequency Trading

https://hbr.org/2015/08/the-social-costs-of-high-frequency-trading

...more
View all episodesView all episodes
Download on the App Store

A New LensBy Wild Will