SevenCubed - 10:22 pm on Sep 26, 2012 (gmt 0)
We don't so much have a bubble, we have a manufactured market. High frequency trading algorithms are near 70% of the volume on any given trading day in every major market (nasdaq, NYSE, etc.).
At first I couldn't understand that statement but I was thinking "manufactured economy" rather than manufactured market like you said. When I got it, it brought to mind a talk on TED by Kevin Slavin: How algorithms shape our world. His presentation is very good and confirms what you are saying -- 70% of trades are actually controlled by black box trading -- a computer algorithm unleashed.