Latest Entries

A Conversation On: Crime Scene Forensics

If only the real world worked like it does on CSI.

THE LAZARUS FILE
by Matthew McGough | The Atlantic | June 2011

In 1986, a young nurse named Sherri Rasmussen was murdered in Los Angeles. Police pinned down no suspects, and the case gradually went cold. It took 23 years—and revolutionary breakthroughs in forensic science­—before LAPD detectives could finally assemble the pieces of the puzzle. When they did, they found themselves facing one of the unlikeliest murder suspects in the city’s history.

BEYOND C.S.I.: THE RISE OF COMPUTATIONAL FORENSICS
by Sargur Srihari | IEEE Spectrum | December 2010

On 6 May 2004, a Portland, Oregon, lawyer named Brandon Mayfield was arrested for his alleged involvement in the terrorist bombings of four commuter trains in Madrid. The attacks killed 191 people and injured 2000 others. But Mayfield had never been to Spain, and his passport at the time was expired. The sole evidence against him was a partial fingerprint found on a plastic bag in a van used by the bombers. The FBI’s Integrated Automated Fingerprint Identification System had identified Mayfield as a possible match, and three FBI fingerprint experts as well as an outside analyst confirmed the identification.

A Conversation On: Death Races

There are ultra-endurance events, then there are these two crazy things.

THE DEATH RACE
by Mark Jenkins | Outside | November 2010

It’s June 26, I’m 17 hours into the Death Race, and, all in all, I’m still feeling pretty strong. A barbwire gash on my head has coated one side of my face with blood, but as I told the medic in my best Monty Python falsetto, “It’s a mere flesh wound.” My back no longer feels as if the vertebrae are being crushed, but the pain in my knees is definitely worse. It’s not raining (at the moment), and my one-person pit crew—stalwart wife, Sue—is running alongside me, pushing peach slices into my slack-jawed mouth. I know I can finish this race. What I don’t know is that this is the last time I’ll feel good for a month.

THE IMMORTAL HORIZON
by Leslie Jamison | The Believer | May 2011

On the western edge of Frozen Head State Park, just before dawn, a man in a rust brown trench coat blows a giant conch shell. Runners stir in their tents. They fill their water pouches. They tape their blisters. They eat thousand-calorie breakfasts: Pop-Tarts and candy bars and geriatric energy drinks. Some of them pray. Others ready their fanny packs. The man in the trench coat sits in an ergonomic lawn chair beside a famous yellow gate, holding a cigarette. He calls the two-minute warning.

A Conversation On: Matt Taibbi vs Wall St

Goldman Sachs really pisses Matt Taibbi off. 7 longreads published in Rolling Stone in chronological order. Go.

WALL STREET’S BAILOUT HUSTLE
by Matt Taibbi | Rolling Stone | February 2010

Goldman Sachs and other big banks aren’t just pocketing the trillions we gave them to rescue the economy — they’re re-creating the conditions for another crash

LOOTING MAIN STREET
by Matt Taibbi | Rolling Stone | March 2010

How the nation’s biggest banks are ripping off American cities with the same predatory deals that brought down Greece

WALL STREET’S NAKED SWINDLE
by Matt Taibbi | Rolling Stone | April 2010

A scheme to flood the market with counterfiet stocks helped kill Bear Stearns and Lehman Brothers – and the feds have yet to bust the culprits

THE GREAT AMERICAN BUBBLE MACHINE
by Matt Taibbi | Rolling Stone | April 2010

From tech stocks to high gas prices, Goldman Sachs has engineered every major market manipulation since the Great Depression – and they’re about to do it again

WHY ISN’T WALL STREET IN JAIL?
by Matt Taibbi | Rolling Stone | February 2011

Financial crooks brought down the world’s economy – but the feds are doing more to protect them than to prosecute them

THE REAL HOUSEWIVES OF WALL STREET
by Matt Taibbi | Rolling Stone | April 2011

Why is the Federal Reserve forking over $220 million in bailout money to the wives of two Morgan Stanley bigwigs?

THE PEOPLE VS. GOLDMAN SACHS
by Matt Taibbi | Rolling Stone | May 2011

A Senate Committee has laid out the evidence. Now the Justice Department should bring criminal charges

Did I miss any?

A Conversation On: Anthrax After 9/11

Two profiles, one each on the suspects the FBI thought was the perpetrator of the anthrax attacks post-9/11. I did a lot of head shaking at the ineptitude on display. You will, too.

THE WRONG MAN
by David Freed | The Atlantic | May 2010

In the fall of 2001, a nation reeling from the horror of 9/11 was rocked by a series of deadly anthrax attacks. As the pressure to find a culprit mounted, the FBI, abetted by the media, found one. The wrong one. This is the story of how federal authorities blew the biggest anti-terror investigation of the past decade—and nearly destroyed an innocent man. Here, for the first time, the falsely accused, Dr. Steven J. Hatfill, speaks out about his ordeal.

ANTHRAX REDUX: DID THE FEDS NAB THE WRONG GUY?
by Noah Shachtman | Wired | March 2011

But things are not always as clear-cut as they may seem in an FBI presentation. Two years later, sitting in her office overlooking West Baltimore, Fraser-Liggett concedes she has reservations. 

Update: Algorithmic Trading

An update to the Algorithmic Trading conversation.

HOW TO MAKE MONEY IN MICROSECONDS
by Donald MacKenzie | London Review of Books | May 2011

What goes on in stock markets appears quite different when viewed on different timescales. Look at a whole day’s trading, and market participants can usually tell you a plausible story about how the arrival of news has changed traders’ perceptions of the prospects for a company or the entire economy and pushed share prices up or down. Look at trading activity on a scale of milliseconds, however, and things seem quite different.

A Conversation On: The Kill Team

Two takes on the same story. Not surprising is how each outlet approached this topic.

THE KILL TEAM
by Mark Boal | Rolling Stone | March 2011

Early last year, after six hard months soldiering in Afghanistan, a group of American infantrymen reached a momentous decision: It was finally time to kill a haji.

Among the men of Bravo Company, the notion of killing an Afghan civilian had been the subject of countless conversations, during lunchtime chats and late-night bull sessions. For weeks, they had weighed the ethics of bagging “savages” and debated the probability of getting caught. Some of them agonized over the idea; others were gung-ho from the start. But not long after the New Year, as winter descended on the arid plains of Kandahar Province, they agreed to stop talking and actually pull the trigger.

A BEAST IN THE HEART OF EVERY FIGHTING MAN
by Luke Mogelson | New York Times | April 2011

“Ask them, ‘Do they understand why we shot this dude?’ ” the lieutenant told his interpreter. During their last patrol to Qualaday, soldiers in the platoon had attacked Mullah Allah Dad with rifles and a fragmentation grenade that blew off the lower halves of his legs and badly disfigured his face. The soldiers claimed that Allah Dad was trying to throw a grenade at them. Two days after the killing, however, a company commander attended a council during which the district leader announced that people believed the incident had been staged and that the Americans had planted the grenade in order to justify a murder.

A Conversation On: Donald Trump

And what his net worth might be.

WHAT’S HE REALLY WORTH?
by Timothy O’Brien | New York Times | October 2005

For decades, Donald Trump, America’s most effervescent rich guy, has made his wealth a matter of public discourse. But sometimes his riches are hard to find.

PRESIDENT TRUMP? ‘I’M VERY SERIOUS’
by Sheelah Kolhatkar | Businessweek | April 2011

Donald Trump may or may not run for the White House, but he has already reached his preferred destination: the center of attention.

A Conversation On: Lynn Tilton

Lynn Tilton is nothing if not interesting. First, a short piece from WSJ, then a profile from NYMag. Then, a series of critical blog posts from Forbes, which, published so close together (within minutes) really should have been one longer piece.

TILTON FLAUNTS HER STYLE AT PATRIARCH
by Robert Frank | Wall Street Journal | January 2011

Last year, private-equity chief Lynn Tilton flew to Detroit to try to improve sales at one of her auto-parts companies. She got a cool reception from Ford Motor Co.’s purchasing chief, Tony Brown, who asked if she was like other private-equity chiefs that “strip and flip” their companies.

“You must be mistaken,” she shot back. “It’s only men that I strip and flip. My companies I hold long and close to my heart.”

WHAT DOES IT TAKE FOR A FEMALE TYCOON TO GET NOTICED AROUND HERE?
by Jessica Pressler | New York Magazine | April 2011

Lynn Tilton is one of the wealthiest financiers on Wall Street. She’s also on a spiritual journey to save America’s manufacturing base. But she’s having trouble getting the respect she believes she deserves.

Six Forbes blogs, by Matt Shifrin, Tom Post and Jenna Goudreau. Red highlighting for emphasis.

LYNN TILTON: DIVA IN DISTRESS? 4/6/11, 10:46am
LYNN TILTON: KEEPING HER LAWYERS ON SPEED DIAL 4/6/11, 2:00pm
LYNN TILTON: COURT DOCS REVEAL ACCUSATIONS OF FRAUD 4/6/11, 2:06pm
LYNN TILTON: IN HER OWN WORDS 4/6/11, 2:08pm
FIVE THINGS INVESTORS SHOULD KNOW ABOUT LYNN TILTON’S CLO DEALS 4/6/11, 2:26pm
LYNN TILDONT: THE WILD WOMAN OF WALL STREET 4/7/11, 4:57pm

A Conversation On: NYC’s Micro-Economies

On the fringe, skirting the law or ignoring it completely - five looks into NYC’s micro-economies.

THE ONE MAN DRUG COMPANY
by David Amsden | New York Magazine | April 2006

After prep school, he built a thriving business. Now he’s got to find a way to get out of it.

THE COLUMBIA KID
by Robert Kolker | New York Magazine | December 2010

How do you get through college these days? You and four friends, police say, deal pot, coke, Adderall, ecstasy, and LSD. Until you make a few boneheaded mistakes.

A CIGARETTE FOR 75 CENTS, 2 FOR $1: THE BRISK, SHADY SALE OF ‘LOOSIES’
by Joseph Goldstein | New York Times | April 2011

Rarely does a minute go by without a customer stopping just long enough to pass a dollar bill to Lonnie Loosie, known to the police by his given name, Lonnie Warner, 50. They clench the two “loosies” — as single cigarettes are called — that he thrusts back in return.

HEROIN.COM: SELLING JUNK ONLINE
by David Shapiro | Village Voice | April 2011

“It’s like shooting fish in a barrel,” she told the Daily News. That year, a Citigroup vice president, Mark Rayner, was caught moving ecstasy and cocaine from his Midtown offices using Craigslist. “We see lots of professionals, people with good jobs, doing it,” Brennan said.

Three years later, drug dealing on the classified-ads website is still blatant and ubiquitous.

ADVENTURES IN A BOOK TRADE
by Mitchell Duneier | New York Times | 1999

To some New Yorkers, the men who hawk secondhand books and scavenged magazines on city sidewalks are no better than beggars and squeegee men; they form a parasitic and intimidating gantlet that mars the urban streetscape and consumes precious areas of public space. Protected by local law, vendors of written material have largely weathered Mayor Rudolph Giuliani’s quality-of-life jihad, which has swept away peddlers, panhandlers and other unsavory elements in the name of a safer, saner city.

The entire book is available via google books, here.

A Conversation On: The Economics of Modeling

Two sad, and eye opening pieces from Jenna Sauers.

WHAT VOGUE ACTUALLY PAYS ITS MODELS
by Jenna Sauers | Jezebel | November 2010

It’s not much!  

WHAT I OWE: THE FINANCIAL EXPLOITATION OF MODELS
by Jenna Sauers | dis magazine 

My debt disaster began when I started working as a fashion model. Within eight weeks I owed €4 255,65 to the Elite agency in Paris. I kept at it another two years, until I owed over ten thousand dollars to agencies, friends, and Wells Fargo Card Services. This is a partial accounting of all the bad decisions I made in that time.

 

A Conversation On: Ireland’s Finances

This one’s a bit of a before and after.

Before.

THREADBARE
The Economist | November 2010

Fears about Ireland’s public finances and banks have made a European bail-out look imminent. How deep is the country’s economic mire?

After – from the always interesting, Michael Lewis.

WHEN IRISH EYES ARE CRYING
by Michael Lewis | Vanity Fair | March 2011

First Iceland. Then Greece. Now Ireland, which headed for bankruptcy with its own mysterious logic. In 2000, suddenly among the richest people in Europe, the Irish decided to buy their country—from one another. After which their banks and government really screwed them. So where’s the rage?

Update 2: Deepwater

Photo essay.

THE GULF OIL DISASTER: ONE YEAR LATER
by Alan Taylor | The Atlantic (In Focus) | April 2011

One year ago, an explosion rocked the Deepwater Horizon drilling rig in the Gulf of Mexico, killing 11 workers, sinking the rig, and releasing a massive amount of crude oil into the ocean. Nearly 4.9 million barrels of oil (200 million gallons) are believed to have leaked into the Gulf, fouling shorelines, crushing local economies, and damaging the environment to an extent that’s yet to be fully determined. Studies are ongoing, focused on issues such as dispersant effectiveness and long-term health effects on humans and animals — and litigation is ongoing, with more than 300 related lawsuits recently consolidated for a trial, beginning in February 2012, that will assign fault in terms of percentages to BP and other companies. Now, one year later, discovering the full extent of the disaster remains difficult, hampered by the scale of the affected area, the volume of the oil and differing explanations of what happened to the bulk of it, and criminal and civil litigation. These images give both a look back and a current view of the area affected by the largest accidental oil spill in history.

A Conversation On: Bike Commuting

Two on bike commuting, bike lanes and the climate surrounding it in NYC.

NOT QUITE COPENHAGEN
by Matthew Shaer | New York Magazine | March 2011

Is New York too New York for bike lanes?

RAGE AGAINST YOUR MACHINE
by Tom Vanderbilt | Outside | March 2011

 What is it about cyclists that can turn sane, law-abiding drivers into shrieking maniacs? The author ponders the eternal conflict with help from bike supercommuter Joe Simonetti, who each week survives the hostile, traffic-clogged rat race between the New York exurbs and Midtown Manhattan. 

 

Update: Deepwater

Two updates to the Deepwater conversation.

After the looting we saw post-Katrina, what are the chances that their isn’t any funny business going on around the money BP is paying out to clean up the Gulf?

AP IMPACT: BP BUYS GULF COAST MILLIONS IN GEAR
by Michael Kunzelman, Mike  Schneider, Melinda Deslatte | SF Gate | April 2011

Tasers. Brand-new SUVs. A top-of-the-line iPad. A fully loaded laptop. In the year since the Gulf oil spill, officials along the coast have gone on a spending spree with BP money, dropping tens of millions of dollars on gadgets and other gear — much of which had little to do with the cleanup, an Associated Press investigation shows.

Shocking stuff, really. This sort of begs the question, is the Gulf actually being cleaned up…

HAS BP REALLY CLEANED UP THE GULF OIL SPILL?
by Suzanne Goldenberg | The Guardian | April 2011

Officially, marine life is returning to normal in the Gulf of Mexico, but dead animals are still washing up on beaches – and one scientist believes the damage runs much deeper.

 
 

 

 

Update: Shadowcrew

An update to the Shadowcrew conversation.

IN SURPRISE APPEAL, TJX HACKER CLAIMS U.S. AUTHORIZED HIS CRIMES
by Kim Zetter | Wired | April 2011

Albert Gonzalez, the hacker who masterminded the largest credit card heists in U.S. history, is asking a federal judge to throw out his earlier guilty pleas and lift his record-breaking 20-year prison sentence, on allegations that the government authorized his years-long crime spree.



A Conversation On: The NBA

These two pieces seem appropriate now that the NBA Playoffs are underway. The improbable globalization of the NBA.

ALLEN IVERSON: FALLEN STAR
by Robert Huber | Philadelphia Magazine | December 2010

With his NBA career over, his marriage in trouble, and rumors swirling about drinking and money problems, the greatest Sixer of his era finds himself playing minor-league basketball in Turkey and spending his nights at a T.G.I. Friday’s in Istanbul. Isn’t it, weirdly, exactly how we always thought it would end for Allen Iverson?

WELCOME TO THE FAR EAST CONFERENCE
by Wells Tower | GQ | May 2011

Exiled from the NBA, vilified by the press, and ridiculed for a serious of questionable YouTube videos (eating Vaseline? c’mon!), Stephon Marbury is seeking redemption—and vast riches—in basketball-mad China. Now, if he can just win over his Communist bosses, he’ll be the biggest thing since Yao Ming.

A Conversation On: Lost Boys

The bodies being discovered on Long Island bring to mind other tragedies, maybe overlooked tragedies, similar in nature. Thankfully, because of technology and the 24-hour news cycle, hopefully this one won’t be so easily swept aside.

DISCOVERY OF THREE MORE SETS OF REMAINS ADDS TO L.I. MYSTERY
by Joseph Goldstein and Tim Stelloh | New York Times | April 2011

Investigators on Long Island discovered the remains of three more people on a barrier beach on Monday, bringing the number of remains found nearby to eight since the police began searching for a missing prostitute late last year.

SEE NO EVIL
by Skip Hollandsworth | Texas Monthly | May 1933

How does a perfect gentleman become a vicious murderer? For Charles Albright, it all began with an obsession with eyes.

THE LOST BOYS
by Skip Hollandsworth | Texas Monthly | April 2011

In December 1970 two teenagers disappeared from the Heights neighborhood, in Houston. Then another and another and another. As the number of missing kids grew, no one realized that the most prolific serial killer the country had ever seen—along with his teenage accomplices—was living comfortably among them. Or that the mystery of what happened to so many of his victims would haunt the city to this day.

Browsing Omni Mag Online makes me question the ending of ‘The Lost Boys’… Would love the author to weigh in.

While reading through these, two books came to mind.

THE CONCRETE BLONDE
by Michael Connelly | 1994

In his latest adventure, LAPD detective Hieronymous “Harry” Bosch–whose first excursion, The Black Echo (1992), won an Edgar–moves into Scott Turow territory. Bosch is Exhibit A in a civil suit against the city filed by the family of a man Bosch killed: a man he and the police believe was the serial murderer of prostitutes and porn stars whom the media dubbed the Dollmaker. As Bosch’s trial opens, however, a Dollmaker-style note directs the police to a woman’s body buried in concrete, a “concrete blonde” who turns out to have been murdered with all the Dollmaker’s trademarks after Bosch killed the suspect. Did Bosch kill the wrong man? Strongly plotted and deftly orchestrated, the novel shifts back and forth between the courtroom and the streets, between Bosch’s often troubled relationships with his professional colleagues and his deepening love affair with the schoolteacher widow of a brother officer, and between Bosch’s unaccustomed self-doubts and his suspicions of others. A fast-paced, classy mystery.

LOST BOYS
by Orson Scott Card | 1992

A withdrawn eight-year-old in a troubled family invents imaginary friends who bear the names of missing children in this absorbing thriller.

A Conversation On: Sandra Lee

SANDRA LEE: THE WOMAN IN WHITE
by Gully Wells | Vogue | February 2011

Tall and willowy, dressed in a white cashmere sweater and cream pants, her long blonde hair pulled back in a ponytail, pale-blue eyes highlighted with just a glimmer of frosty blue eyeliner, Lee is taking me shopping for some new plates for the house she shares with Andrew Cuomo in Mount Kisco. Except that now they will be commuting between Westchester and the Governor’s Mansion in Albany, and Cuomo’s daughters go to local schools. “I’m not quite sure how all this is going to work out yet,” says Lee. (Cuomo has joint custody of Michaela, thirteen, and sixteen-year old twins Mariah and Cara.) But back to the plates. “I like to create what I call ‘tablescapes,’ ” she explains. “It’s so much more fun when you organize your table around a theme, don’t you think?” And there, stacked up inside an open armoire at Fishs Eddy on Broadway, she finds exactly what she’s looking for. Decorated with vintage pictures of the emblematic buildings dear to the heart of every red-blooded, patriotic American politician—Mount Vernon, Independence Hall in Philadelphia—the plates would fit right into her Founding Fathers–themed dining room at home. “You’ll see what I mean when you come out to the house next week and we cook together,” she says.

For my money, a better profile.

THE RAVENOUS AND RESOURCEFUL SANDRA LEE
by Benjamin Wallace | New York Magazine | March 2011

Sandra Lee will make this happen. On a Friday afternoon in early March, the Food Network star and girlfriend of Governor Cuomo is sitting on a sofa in a photo studio in Chelsea, wearing a white sweatsuit, running shoes, and no jewelry. Even dressed down, she still has the long neck and blonde polished looks of the QVC host she used to be. But today’s self-presentation is a ways from the Sandra Lee of Vogue features, inaugural ceremonies, and television fame. She is here to pursue what is in effect her second ­career—as an anti–child-hunger advocate—by filming a public-service announcement for Tyson Foods. In January, after visiting nine of New York’s ten food banks and learning that what they needed most was protein, she made a deal with Tyson to appear in this PSA in exchange for their donation of 10,000 pounds of meat to each of the ten banks. Tyson has flown in two reps from Arkansas for the shoot. Clearly, these nice folks have no idea what they’re in for.

A Conversation On: Shadowcrew

Cybercrime, credit cards and drugs. Lots and lots of drugs.

THE GREAT CYBERHEIST
by James Verini | New York Times | November 2010

One night in July 2003, a little before midnight, a plainclothes N.Y.P.D. detective, investigating a series of car thefts in upper Manhattan, followed a suspicious-looking young man with long, stringy hair and a nose ring into the A.T.M. lobby of a bank. Pretending to use one of the machines, the detective watched as the man pulled a debit card from his pocket and withdrew hundreds of dollars in cash. Then he pulled out another card and did the same thing. Then another, and another. The guy wasn’t stealing cars, but the detective figured he was stealing something.

Rolling Stone’s more colorful take on the same.

SEX, DRUGS AND THE BIGGEST CYBERCRIME OF ALL TIME
by Sabrina Erdely | Rolling Stone | November 2010

They’d been high all weekend long — on Ecstasy, coke, mushrooms and acid — so there seemed little harm in doing one last bump of Special K while they packed up to leave their $5,000-a-night duplex in South Beach. For the past three days, the three friends had barely bothered leaving their hotel, as a dozen club kids in town for Winter Music Conference, the annual festival that draws DJs and ravers from all over the world, flocked to their luxury suite to partake of the drug smorgasbord laid out on the coffee table. But even stoned on industrial-grade horse tranquilizers, Albert Gonzalez remained focused on business — checking his laptop constantly, keeping tabs on the rogue operators he employed in Turkey and Latvia and China, pushing, haranguing, issuing orders into his cellphone in a steady voice. “Let’s see if this Russian asshole has what I need,” he’d say calmly. Then he would help himself to glass plates of powder, each thoughtfully cut into letters for easy identification: “E” for Ecstasy, “C” for coke.

And one more on stolen credit cards that overlaps with the above two.

ONE HACKER’S AUDACIOUS PLAN TO RULE THE BLACK MARKET IN CREDIT CARDS
by Kevin Poulson | Wired | December 2008

The heat in Max Butler’s safe house was nearly unbearable. It was the equipment’s fault. Butler had crammed several servers and laptops into the studio apartment high above San Francisco’s Tenderloin neighborhood, and the mass of processors and displays produced a swelter that pulsed through the room. Butler brought in some fans, but they didn’t provide much relief. The electric bill was so high that the apartment manager suspected Butler of operating a hydroponic dope farm.

…And one more. Kevin Poulson’s book about Max Butler.

KINGPIN: HOW ONE HACKER TOOK OVER THE BILLION-DOLLAR CRIME UNDERGROUND
by Kevin Poulson | February 2011

In a previous life, Poulsen served five years in prison for hacking. So the Wired senior editor and “Threat Level” blogger knows intimately the terrain he explores in this page-turning tale of the criminal exploits of a hacker of breathtaking ambition, Max Butler, who stole access to 1.8 million credit card accounts. Poulsen understands both the hows of hacking, which he explains clearly, as well as the whys, which include, but also can transcend, mere profit. Accordingly, his understanding of the hacking culture, and his extensive interviews with Butler, translates into a fascinating depiction of a cybercriminal underworld frightening in its complexity and its potential for harm, and a society shockingly vulnerable to cybercrime. The personalities, feuds, double dealing, and scams of the hackers are just one half of this lively story. The other half, told with equal verve, is law enforcement’s efforts to find and convict Butler and his accomplices. (Butler is now serving a 13-year sentence and owes .5 million in restitution.) Poulsen renders the hacker world with such virtual reality that readers will have difficulty logging off until the very end.

4/18/11 – Update:

IN SURPRISE APPEAL, TJX HACKER CLAIMS U.S. AUTHORIZED HIS CRIMES
by Kim Zetter | Wired | April 2011

Albert Gonzalez, the hacker who masterminded the largest credit card heists in U.S. history, is asking a federal judge to throw out his earlier guilty pleas and lift his record-breaking 20-year prison sentence, on allegations that the government authorized his years-long crime spree.

A Conversation On: Algorithmic Trading

RECIPE FOR DISASTER: THE FORMULA THAT KILLED WALL ST
Felix Salmon | Wired | February 2009

Then the model fell apart. Cracks started appearing early on, when financial markets began behaving in ways that users of Li’s formula hadn’t expected. The cracks became full-fledged canyons in 2008—when ruptures in the financial system’s foundation swallowed up trillions of dollars and put the survival of the global banking system in serious peril.

ALGORITHMS TAKE CONTROL OF WALL ST
by Felix Salmon and Jon Stokes | Wired | January 2011

Algorithms have become so ingrained in our financial system that the markets could not operate without them. At the most basic level, computers help prospective buyers and sellers of stocks find one another—without the bother of screaming middlemen or their commissions. High-frequency traders, sometimes called flash traders, buy and sell thousands of shares every second, executing deals so quickly, and on such a massive scale, that they can win or lose a fortune if the price of a stock fluctuates by even a few cents. Other algorithms are slower but more sophisticated, analyzing earning statements, stock performance, and newsfeeds to find attractive investments that others may have missed. The result is a system that is more efficient, faster, and smarter than any human.

MAN vs MACHINE ON WALL ST: HOW COMPUTERS BEAT THE MARKET
William D Cohan | The Atlantic | March 2011

Wall Street, meet your post-human future. Uber-”quant” Cliff Asness bets that his high-speed computers and trading models can churn billions of dollars in profits in booms and busts alike. But can artificial intelligence really out-smart the market? 

5/12/11 – Update:

HOW TO MAKE MONEY IN MICROSECONDS
by Donald MacKenzie | London Review of Books | May 2011

What goes on in stock markets appears quite different when viewed on different timescales. Look at a whole day’s trading, and market participants can usually tell you a plausible story about how the arrival of news has changed traders’ perceptions of the prospects for a company or the entire economy and pushed share prices up or down. Look at trading activity on a scale of milliseconds, however, and things seem quite different.

Any must read books on this topic?

 

A Conversation On: Psychedelics

DR. ECSTASY
by Drake Bennett | The New York Times | January 2005

When Shulgin had his first psychedelic experience in 1960, he was a young U.C. Berkeley biochemistry Ph.D. working at Dow Chemical. He had already been interested for several years in the chemistry of mescaline, the active ingredient in peyote, when one spring day a few friends offered to keep an eye on him while he tried it himself. He spent the afternoon enraptured by his surroundings. Most important, he later wrote, he realized that everything he saw and thought ”had been brought about by a fraction of a gram of a white solid, but that in no way whatsoever could it be argued that these memories had been contained within the white solid. . . . I understood that our entire universe is contained in the mind and the spirit. We may choose not to find access to it, we may even deny its existence, but it is indeed there inside us, and there are chemicals that can catalyze its availability.”

OWSLEY STANLEY: THE KING OF LSD
Rolling Stone | July 2007

No one did more to alter the consciousness of the generation that came of age in the 1960s than Augustus Owsley Stanley (who passed away March 13, 2011). Long before the Summer of Love drew thousands of hippies to Haight-Ashbury, Owsley was already an authentic underground folk hero, revered throughout the counterculture for making the purest form of LSD ever to hit the street. Yet today, at seventy-two, he is all but forgotten.

Given that they’re covering similar subjects and ground, it’s interesting (but not surprising, given the respective outlets) the difference in tone that each piece takes.

 

A Conversation On: Tina Fey

From Weekend Update to 30 Rock, two pieces (and a book) on Tina Fey.

ANCHOR WOMAN
by Virginia Herrernan | The New Yorker | November 2003

She started work in an office on the seventeenth floor of 30 Rockefeller Plaza, NBC’s headquarters, which offered a view of the Empire State Building. She missed Chicago, but “S.N.L.” ’s backstage dynamics inspired her. “In that comfort zone, we say the meanest kind of things,” she explained. “If you want to make an audience laugh, you dress a man up like an old lady and push her down the stairs. If you want to make comedy writers laugh, you push an actual old lady down the stairs.” In 1999, Michaels invited Fey to become a head writer, and the following year she began performing in sketches and on “Weekend Update.”

WHAT TINA WANTS
by Maureen Dowd | Vanity Fair | January 2009

Tina Fey has rules. They’ve guided the 38-year-old writer-comedian through marriage, motherhood, and a career that went into hyperdrive this fall, when her Sarah Palin impression convulsed the nation, boosting the ratings of both Saturday Night Live and her own NBC show, 30 Rock. Backstage at S.N.L., where “Palin” met Palin, and at the home Fey shares with her husband and daughter, the author reports on how a tweezer, cream rinse, a diet, and a Teutonic will transformed a mousy brain into a brainy glamour-puss.

Being a New Yorker myself, I can appreciate this quote, from her Proust Questionnaire in the May, 2011 issue of Vanity Fair,

What do you most value in your friends?

A willingness to come uptown.

And her new book is also worth mentioning.

BOSSYPANTS
by Tina Fey | April 2011

Tina Fey’s new book Bossypants is short, messy, and impossibly funny (an apt description of the comedian herself). From her humble roots growing up in Pennsylvania to her days doing amateur improv in Chicago to her early sketches on Saturday Night Live, Fey gives us a fascinating glimpse behind the curtain of modern comedy with equal doses of wit, candor, and self-deprecation. Some of the funniest chapters feature the differences between male and female comedy writers (“men urinate in cups”), her cruise ship honeymoon (“it’s very Poseidon Adventure“), and advice about breastfeeding (“I had an obligation to my child to pretend to try”). But the chaos of Fey’s life is best detailed when she’s dividing her efforts equally between rehearsing her Sarah Palin impression, trying to get Oprah to appear on 30 Rock, and planning her daughter’s Peter Pan-themed birthday. Bossypants gets to the heart of why Tina Fey remains universally adored: she embodies the hectic, too-many-things-to-juggle lifestyle we all have, but instead of complaining about it, she can just laugh it off. –Kevin Nguyen

 

A Conversation On: Deepwater

If 2010 qualifies as their ‘best’ year in safety performance, one wonders how low the bar is set. I shudder to think what a bad year looks like.

TRANSOCEAN CITES SAFETY IN BONUSES 
by Daniel Gilbert and Tennille Tracy | Wall St Journal | April 2011

Transocean Ltd. had its “best year in safety performance” despite the explosion of its Deepwater Horizon rig that left 11 dead and oil gushing into the Gulf of Mexico, the world’s largest offshore-rig company said in a securities filing Friday.

Now seems like a good time to revisit this next piece.

DEEPWATER HORIZON’S FINAL HOURS
by David Barstow, David Rohde and Stephanie Saul | New York Times | December 2010

Crew members were cut down by shrapnel, hurled across rooms and buried under smoking wreckage. Some were swallowed by fireballs that raced through the oil rig’s shattered interior. Dazed and battered survivors, half-naked and dripping in highly combustible gas, crawled inch by inch in pitch darkness, willing themselves to the lifeboat deck.

Surely BP aren’t shirking any of their responsibilities? O, wait.

BP DELIBERATELY ‘UNDERPAYING’ CLAIMS, MISSISSIPPI SAYS
by Laurel Brubaker Calkins and Margaret Cronin Fisk | Bloomberg | February 2011

Of the 32,691 requests by individuals for interim damage payments from Feinberg’s fund, “none have been paid” as of Jan. 29, Hood said. Of 9,464 businesses that have filed interim damage claims, “only one has been paid,” he said.

4/18/11 – Update:

AP IMPACT: BP BUYS GULF COAST MILLIONS IN GEAR
by Michael Kunzelman, Mike  Schneider, Melinda Deslatte | SF Gate | April 2011

Tasers. Brand-new SUVs. A top-of-the-line iPad. A fully loaded laptop. In the year since the Gulf oil spill, officials along the coast have gone on a spending spree with BP money, dropping tens of millions of dollars on gadgets and other gear — much of which had little to do with the cleanup, an Associated Press investigation shows.

Shocking stuff, really. This sort of begs the question, is the Gulf actually being cleaned up…

HAS BP REALLY CLEANED UP THE GULF OIL SPILL?
by Suzanne Goldenberg | The Guardian | April 2011

Officially, marine life is returning to normal in the Gulf of Mexico, but dead animals are still washing up on beaches – and one scientist believes the damage runs much deeper.

4/19/2011 – Update 2:

THE GULF OIL DISASTER: ONE YEAR LATER
by Alan Taylor | The Atlantic (In Focus) | April 2011

One year ago, an explosion rocked the Deepwater Horizon drilling rig in the Gulf of Mexico, killing 11 workers, sinking the rig, and releasing a massive amount of crude oil into the ocean. Nearly 4.9 million barrels of oil (200 million gallons) are believed to have leaked into the Gulf, fouling shorelines, crushing local economies, and damaging the environment to an extent that’s yet to be fully determined. Studies are ongoing, focused on issues such as dispersant effectiveness and long-term health effects on humans and animals — and litigation is ongoing, with more than 300 related lawsuits recently consolidated for a trial, beginning in February 2012, that will assign fault in terms of percentages to BP and other companies. Now, one year later, discovering the full extent of the disaster remains difficult, hampered by the scale of the affected area, the volume of the oil and differing explanations of what happened to the bulk of it, and criminal and civil litigation. These images give both a look back and a current view of the area affected by the largest accidental oil spill in history.

START

now.



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