High-Frequency Trading: 'Circuit Breaker' Remedy Aimed At Avoiding Flash Crash Debacles Caused Market Mayhem In Sell-Off

It was a rare case of the cure being worse than the disease. At least some of Monday morning's extreme market volatility can be traced to recently implemented federal regluations. Investors woke up Monday to see wild price swings and extraordinarily market volatility. More than 1,000 points evaporated from the Dow Jones Industrial Average and the Standard & Poor's 500 index plunged 5.3 percent in the first four minutes after the opening bell, before quickly recovering about half of what was lost...