Is Someone Front-Running You Around News Releases?

28 Pages Posted: 4 Feb 2016 Last revised: 8 Feb 2016

Irene Aldridge; ABLE Alpha Trading, LTD;

Date Written: February 5, 2016


This study presents evidence that much of the trading on macro-economic news occurs prior to the scheduled news announcement times. Examining the trading patterns ahead of the ISM Manufacturing Index and Construction Spending announcement, we find that the trading on the not-yet-publicly released embargoed news consistently takes place as long as 30 minutes ahead of the news announcement times. As much as three quarters of the pre-announcement price move appears to be driven by aggressive HFTs.

Keywords: News events, front-running, news leakage, high-frequency trading, institutional investors

JEL Classification: L1, E44, E61, E65, G14, B22

Suggested Citation

Aldridge, Irene, Is Someone Front-Running You Around News Releases? (February 5, 2016). Available at SSRN: or

Irene Aldridge (Contact Author) ( email )

United States

ABLE Alpha Trading, LTD ( email )

New York, NY 10004
United States

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