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Quote Stuffing in Michael Kors Holdings (Symbol KORS)

On February 14, 2012 at 10:48am, someone stuffed KORS with quotes from multiple exchanges at rates exceeding 18,000 quotes/sec. What is the purpose of blasting hundreds of thousands of quotes to millions of computers around the world in a single stock that had a few hundred trades at the time? Why is this tolerated?

Take a look at one of the first system wide quote stuffing events we found that occurred on April 26, 2010, just one week before the flash crash (the primary cause of the flash crash was system overload from too many quotes). It seems that nothing has been learned.

KORS 50 millisecond interval chart showing hundreds of thousands of best bid and best offer changes over about 50 seconds of time.

KORS 10 millisecond interval chart showing absolute madness. This chart shows just 11 seconds of time.

KORS 1 millisecond interval chart. The mass of black and gray is from thousands of quotes packed together. This chart shows just one second of time.

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