Market Structure Insights
March 1, 2011
“We determined that it was appropriate to re-examine the appropriateness of short sale price test restrictions.” We copied that sentence from the SEC’s 334-page charter instituting Rule 201 amendments for short sales. While it’s amusing that the authors modified the word appropriate with the word...
February 22, 2011
Among the eight panelists pondering how to forestall another Flash Crash, my favorite quote comes from Columbia professor and Nobel winner in Economic Sciences Joseph Stiglitz, who said in a 2008 paper: “Dollars are a depreciating asset.” Potent statement. I invite you to consider its...
February 15, 2011
You might think “OTC” stands for “off the charts,” which is how we’d rate both the skiing in Winter Park last week and the 70-degree temperatures in Denver Sunday that allowed me to get a post-skiing tan on the back deck. Actually, OTC stands for...
February 8, 2011
We’re leaving most of this week’s email to our friend Joe Saluzzi at Themis Trading. Joe is a groundbreaking and thoughtful critic of contemporary trading, and among the smartest people we know. Last October, Steve Kroft interviewed Joe on 60 Minutes about our machine-driven markets....
February 1, 2011
Memo on a 70-point swing: Saturday we hiked the red rocks at the Denver Front Range’s Roxborough Park. It was 62 degrees Fahrenheit. This morning it was ten below zero. Last Friday I was in Dallas (seventy-five degrees warm) for a trading panel discussion at the NIRI...
January 25, 2011
We have good news and bad news. The good news is that investors have put more funds to work in equities during January. We track behaviors – investment, speculation, the crowd following trends and managing risk. We’ve seen increased investment behavior in the past twenty...