HFT Traders Dust Off Century-Old Tool in Search of Market Edge
- Jump Trading, Virtu appear to be testing shortwave for trading
- Sites are located just miles away from CME’s futures exchanges
This article is for subscribers only.
The latest twist in the race to be fastest in high-frequency trading sits just down the road from the Promise Equestrian Center, a sprawling stable and horse-riding complex about 45 miles west of downtown Chicago. It uses a super-charged version of techniques dear to amateur radio operators worldwide.
On a 58-acre field that grew corn last year, two towers rising about 170 feet support a military-grade antenna shaped like a giant spider’s web. The array is pointed toward market centers in New York, London and Frankfurt. A third pole, topped with a single round microwave dish, is aimed at a data center 16 miles away that powers one of the world’s largest trading hubs: the futures exchanges run by CME Group Inc.