Wednesday Links

Yesterday's "flash rally": the Russell 2000 up 4.4% in the 20 minutes before the close!

ZH: ...short interest at the exchange soared to a whopping 15.7 billion shares as of September 15, an 828 million increase in one fortnight, and the biggest since the March 2009 lows. Contrary indicator.

Paper: "How Well Do Financial Markets Separate News from Noise? Evidence from an Internet Blooper." Not very well. Another market anomaly.

Paul Graham: "If you look at a list of US cities sorted by population, the number of successful startups per capita varies by orders of magnitude. Somehow it's as if most places were sprayed with startupicide."

PK: Microsoft short idea.