we also have lower transaction costs, lower spread. >> why is michael lewis so upset? think he has his own reasons. upsetl lewis is specifically because he thinks markets are unfair. let me tell you why they are fair. >> i want to get to the morning must reads. terrific mandatory read on global wall street. hitting the ball out of the park on opening day. consistentlyho beat the market but retailer investments are dumb. trading with them is a good way to avoid been picked off. efficient markets and high-frequency trading, is it really only about the arbitrage of dumb traders? >> absolutely not. i think retailer investors -- retail investors are extremely sophisticated. this is why we have seen a huge exodus of investors over the past few years. many people say the high-frequency traders are driving. moser are by and hold x -- investors. the markets were in the dumpsters. of peopleng a lot point to, and we have seen this is high-frequency trading firms do not have trading losses very often. they go through times where they are extremely profitable. is it because they go

an intelligent conversation with michael lewis. eryone in global wall street is riveted by his book, the allegations he has made. look for this morning. at 10:00, erik schatzker and stephanie ruhle will speak with mr. lewis. he will join us tomorrow morning. we will beat him up like up in yada. i am kidding. michael lewis, two interviews on bloomberg. starting this morning at 10:00 a.m. this is "bloomberg surveillance." i am tom keene. with me, scarlet fu and adam johnson. >> barry diller sat down with erik schatzker. about aereo.k it has all broadcasters up in arms. the supreme court is set to rule on whether aereo can resell broadcasters programming without their permission. whether it is game over for aereo if the company loses the suit. >> i believe so. >> if you lose -- >> we are finished. >> there is nothing you can sell this? -- you can salvage. -- it would probably -- i cannot see a path for. it would probably not be able to continue in business. >> you have a platform. you have a multi-programming distributor. you would be

on this special edition of michael lewis is with us for the hour. thanks for joining us, i'm erik schatzker. it is no longer april fools' day. let's bring on michael lewis. you have had a huge week, a huge 10 months working on this. we want to get to the book but first we want to get to the news feed. >> the biggest news stories from around the world. it was the biggest leveraged buyout ever but now a reorganization plan would virtually wipe out the investments of the biggest names that took over what is now energy future holdings, formerly known as txu. goldman sachs may accept as little as one percent of the equity after chapter 11 restructuring. energy future restructuring .oldings chrysler recalling nine hundred thousand jeep grand cherokee's and dodge durango suvs. the problem in this case is faulty brake systems. barry diller says the supreme court's decision on area oh -- aereo will be life and death for the company. an interview with him and he said the company has no backup plan if it loses, and eventually that would mean the end of aereo a

what michael lewis is writing about is an issue. michael lewis is making this far bigger. markets are near an all-time high. the s&p 500 was up 30%. the economy has recovered. the banks are capitalized. if they become so distorted like the chinese market which is poorly regulated and has not , it is growth very well not a good proxy for corporate growth there. i would be worried. timeg said this, it is a to cry something of the effect of the market is rigged. with a.re coming off with a market where they have gotten bitten. this is a great time to write a book like this. the idea of taxing these trades is getting interest from our viewers. taxed.ft should be these guys think -- make it no other positive contribution to their country. guest: it is hard to find any unanimity about how that tax be implement it. you would see other prohibitions put in. test themany different would have to go through that makes it prohibitive, you are going to see another situation like the flash crash of 2010. it is bound to happen. leery of coming back to a market. even if michael lewis did n

michael lewis' new book, "flash boys," which addresses the darker side of high frequency trading. sive trading system that's really only for people who pay up big money for it. lewis stopped by fox business to speak with don imus and maria bartiromo about why he believes in a mere millisecond high frequency traders have an unfair advantage in the markets. listen. >> i do think it's rigged -- don: the whole market's rigged? >> yeah. in a subtle way. what it feels like is insider trading because -- except instead of aeroing that company x -- hearing that company x is going to acquire company y, you get advance word of the privacy movements in the stock and react to them before everybody else. don: by a millisecond. >> but that's enough. liz: by the way, more than 90 percent of the trades are canceled before they get made, but whatever the perspective, charlie gas lee know is joining me now. >> we have breaking news on the vir due ipos, it was going to do an ipo, it was actually going to start its road show, really start meeting with investors this week, official planning for this ipo

we're here with michael lewis.ut this group of exbanger and hedge fund guy and wall street guys that formed their own stock exchange because of the high frequency traders were rigging the market. what is the bank's role in this high frequency scam? >> you back away and there's an ecosystem that built itself around high frequency traders skimming profits. they pay the exchanges for special access, special information that ordinary investors don't have. they pay the brokers, the people who handle stock market orders for your order. when you place an order you pay a commission to trade the stock. but the information about what you want to do gets sold to a high frequency trader and the right to trade against you gets sold. that in itself. why would someone pay to execute your stock market order? you would think someone would ask that question. >> jon: they do because this trader gets a volume. they make money on volume. >> the high frequency trader gets a chance to trade against you at the old price. >> jon: and you d

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could be affected because michael lewis book brings in sunlight. >> lewis comes out with the look. what the book did was forced feds and we were the first to report this, the u.s. torn's office was looking at this and you see mary shapiro. >> he's been do it. >> but here's the problem, when you get this much media chatter, like us talking about it, i have read most of michael lewis's book and i'll be finished with it. i will tell you that i think it's a good read. i think it's what lowny blownny. high frequency trading is not a netanyahu bad. net net bad. there's 40 different trading venues allowed by regulators, the fcc in particular and these smart guys figured out computer programs to gain that system. that is not a rid market but a market by regulators. that's the upshot. >> while you've been talking, the do you join industrial hit session high. [laughter] >> that is -- >> but that is the second part. it's a rigged market. if you bought an s&p 500 fund, forget about even 500 shares of apple because if you bought that through your broker, these -- breaking news dow hitting an al

michael lewis. michael lewis.ferred money from his before larry instantly bank of america savings account to his merrill edge retirement account. before he opened his first hot chocolate stand calling winter an "underserved season". and before he quit his friend's leaf-raking business for "not offering a 401k." larry knew the importance of preparing for retirement. that's why when the time came he counted on merrill edge to streamline his investing and help him plan for the road ahead. that's the power of streamlined connections. that's merrill edge and bank of america. over the age of three have gum disease? so give your dog dentastix® as part of their oral care routine. dentastix® treats have a unique texture that's clinically proven to reduce up to 80% of tartar buildup. smile, it's dentastix® time! ahh. there's one. what is that? it's my dale call. [ engine revs ] [ ducks squawking ] that's way better than my duck call. [ male announcer ] if you're on a diet of taking it up a notch... ahh. it's just different.

"flash boys" author michael lewis live on "power lunch." we'll continue to cover this news of tiger woods pulling out of the masters. we're back after this. with all the opinions about stocks out there, how do you know which ones to follow? the equity summary score consolidates the ratings of up to 10 independent research providers into a single score that's weighted based on how accurate they've been in the past. i'm howard spielberg of fidelity investments. the equity summary score is one more innovative reason serious investors are choosing fidelity. call or click to open your fidelity account today. >>> pete najarian is making a bullish bet on a red hot solar stock. pete, what is it? >> unedison. this is an interesting name. steph and i were talking off camera about this. this is lee cooperman name. you take a look and folks taking profits off the april 21 calls rolling them up and buying the may 23 calls expecting the stock to not only get through the 52-week highs but quite a bit higher. this is the name in the solar space that provid

what michael lewis did is lit a torch, okay? it's the industry's job to light more torches and carry them forward. whistleblowers have been calling us. things are happening, right? all you want to do is provide the public with the truth. everyone makes their own decisions. more information, better information, better decisions. that's what it's about. it's not about obfuscating or about tweeting b.s. this is just providing information to the public, let them make their choices. >> thank you all very much. >> i'm going to turn back to michael lewis for some final thoughts here. i guess one that pops into mind is do you invest in the stock market, if so, how and how after you did the reporting on this book has your attitude about those markets changed? >> so it's funny, the subjects in the book when they learned how the market functioned actually withdrew their investments from the market. i have always been a boring and very conservative investor. i own index funds and not -- and i don't like time the market and i put it away and

michael lewis opened up a can of words -- warms.rned about is the idea of stability. of 2010ack to the crash , that is what regulators are focused on. >> are they late to the party? regulators are always late to the party. faster thany is regulation can keep up with. that being said, part of the reason that high-frequency trading persists and indoors and has become a vibrant is because of the regulatory environment. it is because of the game and the rules. they were put in place by regulators. needs to ask themselves how to balance the new market share and the provision of liquidity with stability and fairness. that is the key question. >> is it fair to say new market share at this point? this hft see business is eight or nine years old. should the regulators be looking at this new technology? it is not that new. >> it is progressing. it is innovating. there are some glitches in this plan but have not been remedied dating back to the flash crash. we saw it when the options exchange. we sought with goldman sachs. over, we are seeing

michael lewis, what is a flash boy. >> guest: the heroes of the book are the flash boys, and they're people who discover that the stock market has something funny going on and seek to find out what it is and then build a mechanism to prevent predators in the stock market from getting the prey. it's called "flash boys" for a couple of reasons. one is, the solution that the main characters come up with requires them to be faster than the high-speed traders who are the predators in the stock market. they have to be -- i wanted speed in the title and wanted a kind after superhero in the title because these characters at the center of the story, i felt -- they're not doing anything unnatural but they do have these weird powers in the financial markets right now, in the powers that are -- powers explain complicated things to people. the power to kind of engender trust in others. but the last reason it's called "flash boys" is i knew i wanted "flash" in the title because the markets have taken this term, flash crashes, and flash orders, and flash trading. and i had a title that was kind of

. >>> coming up, author michael lewis is out with a book about the newest way wall street is pulling a fast one over all of us, literally. he will be my guest, ahead. >>> the dow jones industrial average closed above 16,500 points today. and while that was a slight dip from yesterday, the market is still up more than 150% since the low point of the recession. now, a blockbuster new book from one of america's best-selling authors brings word that while all that wealth was being generated, a whole lot of the money was being skimmed off the top. >> now to the economy and a high-fly week for the stock market. >> it was a very good day on wall street. >> another good day on wall street. >> this could be a really bad day on wall street. >> a bad day on wall street. >> having a good day on in the markets. >> not a good day nor the markets. >> you can't be involved in this market in the short-term, because it's too nutty. >> every time you tune into the financial news, it's about what's going on in the market that day. >> i'm going over the top and buying the market right here, right now. >>

michael lewis was on 60 minutes over the weekend, laming the u.s. stock markets are rigged because of high-frequency traders. theay not be that he is only one ringing high-frequency trading to the four. eric schneiderman announced on his own that there is an investigation. this was a few weeks ago. he spoke with market makers yesterday. trading ofquency securities produces liquidity. front running the market is bad. if you can get information and michael lewis talks about this, someone is dumping a lot of -- he used a microsoft as an example. he had the ability to know that just a few seconds before people could execute the trades? the other piece of this that we have to look at is the race for speed that is inherently dangerous. it leads to people taking more chances to get an advantage. >> trying to get an edge. eric schneiderman. there is all this concern that the little guys getting hurt in the high-frequency free-for-all. here is our discussion on surveillance. view is that the amount of information they have collected has gone down to about on

watching yesterday, you saw an explosive exchange on "power lunch" between "flash boys" author michael lewisnd bats global markets president bill o'brien over high frequency trading. lewis says the market is rigged. take a listen. >> it's great to see bill throw at brad the idea he's doing all this to promote a business model. >> he said that and also said shame on you. how do you react to that? >> i will say it again. >> i think he's outrageous. i think he's part of the problem. >> here's what s.e.c. chair mary jo white said about the market. >> are the markets rigged? >> they are not. >> how can you be so confident? >> sorry, got a hearing. >> so is she right? is michael lewis right? representative mike conaway is a republican from texas. he is chairman of the house subcommittee on general farm commodities and risk management which oversees the commodities exchanges. congressman, thank you for being with us today. what do you say? do you think the markets are rigged, specifically the equity markets? >> well, thanks, tyler. appreciate being on your program. doesn't really matter whether i t

is goldman afraid the big bad michael lewis. charlie gasparino, james freeman from the "wall street journal" and jonathan hoenig. charlie, they tried to give you run around on this. >> this is why i don't trust anybody on wall street, particularly goldman sachs. melissa: anyone on wall street. this is why. >> they told me they didn't need bailout but took 100 cents on dollar from aig. doesn't short the market up to the housing crisis. which we know they did. lo and behold i asked david wells, used to be a journalist. i said, david i understand you may close down your dark pool? this is three days best michael lewis book came not. melissa: dark pool is a way to trade without transparency. not like trading at the exchange. >> listen, let's be a little more clear about this. in 2005 the securities & exchange commission changed the laws involving exchanges. it instead of two exchanges, new york stock exchange and nasdaq, they said anybody with a computer and a brain -- melissa: can match people together and create an exchange. >> an

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tonight, michael lewis talking about his new book, flash boys, a wall street revolt. >> the rap on me is i only tell one side of the story. i told the trader's side of the story. like people seem to grasp is actually going to an interview doesn't with high frequent e traders. and he pull who work at exchanges and who work in the bank. i'm telling stories through the eyes of the chiropractors figuring out how the market works because they're teaching the reader how the market works in their own journey. i'm not ignorant of all the other points of view. there is a passage in the book, fairly long passage that sort of like lays how the what traders would say in their defense. but there's not much to say. >> rose: well what do they say in their defense. >> everything we do is within the bounds of the law. we add liquidity to the market. when you hear a wall street person say liquidity run for the exits. what does that mean. he buys from someone and sells to someone else, doubles the volume in the market. we narrow spread, which is between the bid and the ask and the market. it used to be

i'm going to the author of "flash boys," michael lewis, next. protection and live life free. add vanishing deductible from nationwide insurance and get $100 off for every year of safe driving. we put members first. join the nation. ♪ nationwide is on your side it says here that increases at the age of 80. helps reduce the risk of heart disease. keep heart-healthy. live long. eat the 100% goodness of post shredded wheat. doctors recommend it. (music) defiance is in our bones. defiance never grows old. citracal maximum. calcium citrate plus d. >>> michael lewis' book "flash boys," that has been getting a lot of headlines. >> it's the book that wall street can't put down. michael lewis has raised an uproar with "flash boys," his indictment of high-freak hhigh- trading. >> high-frequency trading now thrust back into the public eye, with critics arguing the trading method comes out of billions of dollars. >> and with me now is the author "flash boys," michael lewis. how did you find your way into this story? >> it began with a curiosity about a goldm

a recap from the flash boys author michael lewis, i.e. ex-ceo brad cats yama and labatts ceo bill o'brien. >> we are not as fast as the fastest hfts. we've were slowed down hfts ain't to react on this change. if a mutual fund or hedge fund gives an order it's our responsibility to price it -- >> the same hft customers we do buy producing a valuable service to the market. >> let's just -- >> it got deep, hairy, very technical, gentlemen. dave, let me start with you, and if i'm understanding your position on high frequency trading, it's that you are a long-term trader, and that fundamentally, you're happy that there's some light shed on these practices, but that fundamentally, it doesn't really matter to you whether you bought the share at $30 and a penny, or $30 and 1.111115 cents? >> well, i would say this. first of you a, best execution on behalf of clients is always the standard that has to be adhered to, and a level playing field is a very important part of that. the point i would make, though, from an individual investor's standpoint

michael lewis.he book is called "flash boys: a wall street revolt." ♪ >> live from pier 3 in san francisco, welcome to "bloomberg west" where we cover the future of business. i'm emily chang. amazon prime play and we will have the big announcement of amazon fire tv stepping up competition with apple, google, netflix and more. first, a check of your top headlines.

what michael lewis is writing about is an issue. michael lewis is making this far bigger. guest: markets are near an all-time high. the s&p 500 was up 30%. the economy has recovered. the banks are capitalized. if they become so distorted like the chinese market which is poorly regulated and has not created growth very well, it is not a good proxy for corporate growth there. i would be worried. having said this, it is a time to cry something of the effect of the market is rigged. people are coming off with a. with a market where they have gotten bitten. this is a great time to write a book like this. the idea of taxing these trades is getting interest from our viewers. host: hft should be taxed. these guys think -- make it no other positive contribution to their country. guest: it is hard to find any unanimity about how that tax increase would be implement it. you would see other prohibitions put in. after so many different test the would have to go through that makes it prohibitive, you are going to see another situation like the flash crash of 2010. it is bound to happen.

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is michael lewis to blame? we have fox business's charlie gasparino and economist, todd buchholz and "wall street journal's" jayjames freeman. charlie you have breaking news. >> why are they doing it? is it all lewis's? lewis's book did heighten this. what we learned from a couple days ago we were first to report the u.s. attorney's office is looking at had issue and sec is looking at this issue, this is the rub poverty u, they had to basically repact their ipo. their you'd like must be disclosed in the ipo documents. that is why they delayed it. melissa: this is one of those ipos talking about for a while. how there was so many excitement. to now hear it is pulled basically because of this book, shows the power that it is having. are you surprised by that? >> look, michael lewis is a terrific author. any book he publishes becomes a event and often become as movie. no surprise it gets a lost publicity. i think the "60 minutes" interview, i have not read the book but read enough to hear the word rigged often eno

michael lewis will be with us wednesday and thursday.about the controversy around his book. the controversy will not go away. you think about flashpoint, he has single-handedly reach up started the debate and made it a good healthy debate. >> he will be on market makers 10:00 a.m. what is the best response to high frequency trading? the first response -- how do transactions act? >> big european debate on transactions tax. no hft shark can hurt me while using good risk management. high-speed, low speed, knows no speed. >> i don't believe he is saying that this is illegal. >> the fbi is looking into whether they are crooks or not. >> i believe they are innocent until proven guilty. >> they are. >> larry caps off and about the idea that this was not as profitable as it was for-five years ago. -- they areown 1/7 of what they were. >> where does the high-frequency trading -- >> i agree with tom. he will be joining us on thursday morning. in the loop is next. ♪ >> good morning. we are live from bloomberg world headquarters. you are "in the loo

>> michael lewis is talking about high-frequency trading, other things.rtant thing for capitalism, for us as investors, as owners of businesses, is confident by the public, by investors in the clarity of the marketplace. o used to do this at the new york stock exchange. specialists would always try to figure out something. from running and all of the forms of it has to be examined, and that is why you have the sec, who is doing a terrific job, the technology is fast and they have to change the rules. technology,about michael lewis has been on our network a few times this week. >> he is selling books. >> he does not need that much help. this is what he said about technology within banks. >> part of the reason high-frequency trading has happened outside of the banks is shops that elevate the status of the technologists, those that do it the best, it is about flickr technology. it is out -- in a way how the industry is structured and a --ect result of the banks to failing to accept the technology. >> do you agree? >> i have no point of view on that. none. >>

michael lewis is not presenting a fact. stuart: if you can say that this bunch are getting information before others, you can make the case, you can make the case in a court of law you will make that, in the current climate where wall street is dirt, they will make that argument. charles: and they will lose because there is a distinct difference between somebody buying a stock. stuart: lose? charles: yes, they will loose. insider information comes from inside the company. they have no idea what is going on here. this is between the big boys. a horse race between the giants guys with big blocks of stocks who have zero to do with our audience watching the market. >> michael lewis is uninformed and he is not being challenged. he is being given platforms to go out and spread this false information. it is very much at the detriment of everyone. charles: he is doing it for nefarious reasons beyond selling a book. >> i am listening to this guy thinking he has never made a trade before. charles: i know he hasn't, but it is just sen

michael lewis was the side show. he at one point basically disappeared and the battle was here on the floor between brad and mr. o'brien. he basically sat back like a lot of us and just watched the fist fight. >> that is where the battle is. the battle is right here on the floor of the new york stock exchange. over how the future of trading is going to take place and whether or not we have disenfranchised the retail investor who now does not trust wall street. >> good point, sue. >> we both tried to clarify from mr. lewis that he is not telling everyone it's unsafe to invest in the market. he tried to distance himself from that. but i think you will agree, sue, that was certainly the implication and a lot of people are very upset about that. >> absolutely. we tried three or four times to get him to clarify it. but then brad said when he was pressed by bill o'brien, do you think the markets are rigged, he said yes. so i mean, given the profile of michael lewis, i think if anything is going to get the s.e.c. to open th

michael lewis.he book is called "flash boys: a wall street revolt." ♪ ♪ >> this is "talking stock" for wednesday, april 2, 2014. today's theme is keeping it. find out how on the on-demand shoe business works with the creator of shoes of prey.

and michael lewis is laughing all the way to the bank. it doesn't care that it wasn't a good time to throw the whole market under the bus. >> you mentioned on that, i think. >> you know what i mean. and people that have an ax to grind are going to see that as evidence that the whole thing is crooked. and it's -- but you know what? if it's cathartic and cleaning things up, even more. but if you -- buy and hold has been dead a while. but it's probably going to be better than naming cash. >> there is a big elephant. >> i think also always an opportunity. whether it's all the same field, i don't know. we're going to talk more about this throughout the day. we'll looking at whether markets are rigged. >>> chile's president has declared a state of emergency in the region where a powerful earthquake struck off the country's northern coast. five people were killed. landslides have blocked roads. fires have destroyed several businesses and powers and knocked out the sounds. i think the biggest we've seen on the west coast recently has been in the

my next guest michael lewis has stirred things up this week.evelations he's made about what's called high frequency trading in his latest book "flash boys; a wall street revolt." michael lewis, welcome back. >> thanks for having me. >> you are so cool, with a tie, you always come 0 play. >> i can barely get out of bed on sunday morning. >> your game face alone wins the awards. isn't that the commercial? this book has made a lot of headlines. i want to cut to aspect of the controversy of it, who does it affect. jim cramer on cnbc said if you're the average investor, you're not as concerned about the ups and downs of stock prices. you're holding something for a long time. who's most affected by this? >> stove two answers to that question. anybody who is not a high frequency trader is competing on an unlevel playing field in the exchanges with the high frequency traders. they have information -- advanced information about what you want to do before you do it. who, but the price every time is pennies. you're talking about trivial sums of money for

. >> host: "flash boys" is the name of the book, michael lewis is the author. thank you. >> booktv covers hundreds of author programs throughout the country all year long. here's a look at some of the events we will be attending this week. look for these programs to air in the near future on booktv on c-span2. this wednesday at norwich university in vermont the annual military writers symposium where radio host mark johnson will interview among other military writers the author of blood of tyrants. george washington and the forging of the presidency. sat same day at green light bookstore in brooklyn, new york we are taping a program with the editor of the new york times op-ed section who will discuss his new history of the civil rights act of 1954. on thursday booktv will be in denver at the tattered cover bookstore is investigative journalist doug fine discusses help and how it may affect the u.s. economy. we will also be in los angeles on thursday evening at the alex theatre to cover best-selling author michael lewis discussing his latest book "flash boys" ab

i dig michael lewis, great author, i have read his books.one reason only, for him to sell books and he's going to sell a lot of them. but i'm not a believer the market is rigged. >> if the high frequency traders are able to say we know you, guy, want to make a trade at "x" price and before you can even make that trade we're going to get in there ahead of you and push the price -- >> it's the cost of doing business in the marketplace we live in now. these guys, they are a natural evolution from the geniuses that decided we needed to go from the eighth and quarters and make it pennies. that's the natural evolution of the market which we could have an entire conversation on and i know steve grasso is coming in to talk about it. all they are is just an added layer of cost that you have to deal with in today's world. >> steve, let's address this before we move on. do you agree, it just an added layer of cost or is there something more pernicious here? we know the guys at rbc were losing hundreds of millions of dollars a year because they were eff

we saw michael lewis in his book he was telling us all over. he was all over the media this week.s been off on 60 minutes calling the stock rocket rigged according to his findings. >> for the average american, this doesn't mean much at all. if the market is great, how does the market also sharply in 2,082,009? i guess it's rigged in a sense where there are a set of people that can benefit from some sort of manipulation before the average american or financial markets at large in the economy. sandra: there are open investigations now. using the funding will be that there will be illegal practices going on for nearly some folks have an advantage? >> perhaps the latter. and it's one of those things, you have to be very careful with your words. i'm sure michael lewis may be looking back and they got a lot of attention this week, that is for sure. >> that is right. sandra: john lonski, thank you so much for joining us on this friday night. >> my pleasure. sandra: the white house slamming samsung over viraal selfies. >> the white house objects in this case. sandra: samsung has an endors

. >> that is michael lewis, his book goes inside the world of high frequency trading, declaring that the u.s. equity market is rigged. he joined "market makers" this morning. >> i do not regard high-frequency traders as villains. it is like blaming the lion for eating the antelope, they are wired that way. the system is screwed up. they exploit glitches in the system. they are not wired to say is this good for the world, they do not think that way. >> high-frequency trading can be difficult to understand that you do not have to go to wikipedia. sam grobart says just watch a bad movie. >> michael lewis' latest book sets its sights on the world of high frequency trading. the complex practice performed by the most sophisticated investors with the most powerful computers. i set that is not that complex. it was a major plot point of "superman three." the crappy one with richard pryor. his character engages in fiduciary malfeasance, or salami slicing. >> why would you do that? >> i don't know, i just did it. >> an employee's paycheck is always rounded down to the nearest whole cent, raisin

michael lewis, what is a flash board? >> they heroes of the book are the flashboards, people discover that the stock market as something funny going on and sick to find out what it is and then bill the mechanism to prevent creditors and the stock market. it's all the fuss was for a couple of reasons. one is the solution that the main characters come up with requires them to be faster than the high speed trailers. it got to be -- but also a super hero. there were these characters. i mean, they aren't doing anything unnatural, but they do have these weird powers in the financial markets right now. the powers are powers to explain complicated things to people, the power to a kind of engender trust and others. but the less reason is i knew of one a flash in the title. the market is taken a stern. i had a title. it's kind of an inner tidal. i was driving to the car one day what's the book called? / trout. you come up with a better one. a said what's it about. it's kind of about these guys on wall street you figure out rich peo

ahead of michael lewis' "60 minutes" segment.s more sents as many of the large option trades do, when you piece together the events because you had the interview. you had the trade. then, you had the fbi announcing the investigation some time in the 5:00 hour. >> certainly, a lot of the things do end up starting to add up when you piece these things together. and this one is playing out in front of our very eyes. sunday, with the interview, as through the week and yesterday was a madhouse on the new york floor. it comes down to the proprietary feeds. if everyone has the same access, that's why the term rigged i think sells books. but i think it's not really an accurate look at the market itself. i don't think the market is regulared. i do think it's unfair that people have access from a speed and a depth perception that no one else has. >> i want to get back to the notion of ndaq as a proxy for high-frequency trades. it has moved a lot. look at the chart of ndaq and how it's done since march 18th. that's the first headline from t

. >>> then i sit down with michael lewis. he says wall street is rigged, that some traders have an unfair advantage skimming money out of your pockets and into their own. but is he right? watch and find out. >>> also in the wake of the ft. hood shooting, we'll introduce you to an army general with a solution to the problem of mentally unstable soldiers with guns, and we'll tell you why he can't get his way in washington. >>> finally, a shakespearean tragedy related to syria, but it's not what you're thinking. this one will actually make you smile. but first here's my take. for those of you tired of the coverage of malaysian airlines flight 370, i want you to try an experiment. when you're with a group of friends whose eyes might roll over when you even bring up the issue, ask them what they think happened to the plane. very quickly you will find yourselves in the midst of a lively discussion with many different competing theories. each plausible, each with holes. the plane was hijacked someone will say. but then why no demand

i think that obviously michael lieu sis lewis is a very, very bright man. >> -- the man you're doinghear you, let me go through it, please. >> please. >> what he said is the stock market is rigged. i don't believe that that's the case. if that was the case, that would mean that every order that would be sent to the market, somebody would be manipulating it and doing something with it. i think that even michael lewis would say that, at best, 30% of the orders are being subject to mechanisms with the high-frequency firms that are not allowing for potentially best execution. so the reality is i wish the problem was simple, and it's black and white. the bottom line is, obviously, we don't like this mechanical arbitraging that high-frequency firms do, but the reality, it doesn't happen on every order. the reality is probably when he comes to retail investors, their sizes are not huge. the average retail order is probably in the manner of 300, 400, 500 shares. they won't experience as big a problem. but at the end of the day, listen, what we're about doing is giving people a choice, and we