This has got to be a record for me, three posts in a day. Anyway, you know what's really got me about this whole financial slight of hand trick? It's that I find it beyond incredible, scary really, that so many supposedly smart financial types actually are drinking the kool-aide on a daily basis! I mean really, the markets are skidding all day, and suprise, suprise, suprise, at 3:30 the Dow goes straight up and closes up 80. For the morons who watch the 6 PM news, that's all they see, but all of these so called "money managers" being paid millions...what's their excuse?

Re Below...looks like somebody has figured that somebody's algo's are keying on quote requests to blow out other algos phony SPY offers. 1.1 Billion quotes?!

And here is our intrepid regulators response...

http://www.youtube.com/watch?v=pewhsdRyaQ0

SPY Option Quote Stuffing Or Explaining Today's 25 Point S&P Levitation

Submitted by Tyler Durden on 06/06/2013 17:07 -0400

• Quote Stuffing
• SPY

The major compression in VIX into the close combined with a complete lack of JPY-based carry-driver for the equity market comeback today has many asking just what happened? Though the mechanism for quote-stuffing or momentum ignition in this case is unclear - one thing is absolutely crystal clear - today's total and utter explosion in the quote volume for SPY options provides more than a little concern for just what this market has become. As Nanex notes, over 1.1 billion quotes for SPY Options were posted today as 'quote spam' seems to be serving as some kind of parasitic momentum spark. The point here is that just as the market's flash-crash occurred on a day in which quote-stuffing in cash stocks hit a record; so today we got the inverse flash-smash higher in stocks from a surge in quotes on the far-more levered options market. Just look at these charts!!

Simply put - this spamming in the levered options market explains how the S&P 500 can leviate 25 points on low volume amid every other risk-asset's almost total nonchalence...

Via Nanex,

Obviously, no one at the SEC is paying attention. There should be an immediate review of recently proposed or added (10 share contracts) option contract types. In addition, a moratorium on new option's exchanges until this alarming explosion of unwanted quote spam is addressed.