Program Trading Accounts For 56.7% of NYSE Volume
at 2005-11-12 23:55:01
I find this a little unnerving. Odds are, the last stock I bought was from C3PO:
Program trading in the week ended Nov. 4 accounted for 56.7%, or an average of 1.08 billion shares daily, of New York Stock Exchange volume. Brokerage firms executed an additional 742.7 million daily shares of program trading away from the NYSE, with 1.4% of the overall total on foreign markets. Program trading is the simultaneous purchase or sale of at least 15 different stocks with a total value of $1 million or more.
Of the program total on the NYSE, 7.6% involved stock-index arbitrage. In this strategy, traders dart between stocks and stock-index options and futures to capture fleeting price differences. Less than 0.1% involved derivative product-related strategies. Index arbitrage can be executed only in a stabilizing manner when the Dow Jones Industrial Average moves 150 points or mo
The Market Today
at 2005-11-12 23:55:01
Well, heck. November’s turning out to be a pretty good month. The Buy List is already up 5.18% for the month while the S&P 500 is up 2.30%. Today, the Buy List added another 0.45% and the S&P was up 0.31%. I knew we could outsmart the robots.
The bond market was closed for Veteran’s Day, and the stock market was very quiet. One surprise is that Commerce Bancorp (CBH) was out top performer. CBH added 4.0% today even though the stock was downgraded yesterday by A.G. Edwards.
Here are a few links that I found interesting. One of my favorite bloggers, Michelle Leder of Footnoted.org, found this
Peter F. Drucker 1909-2005
at 2005-11-12 23:55:00
He was born in Vienna during the reign of Emperor Franz Joseph (his middle initial F. stood for Ferdinand). Keynes and Schumpeter were his economics professors. His first book was reviewed by Winston Churchill in the Times Literary Supplement in 1939. The 29-year-old proved to be more prescient than the Great Man.
Mr. Drucker is one of those writers to whom almost anything can be forgiven because he not only has a mind of his own, but has the gift of starting other minds along a stimulating line of thought. There is not much that needs forgiveness in this book, but Mr. Drucker tends to be carried away by his own enthusiasm, so that the pieces of the puzzle fit together rather too neatly. It is indeed curious that a man so alive to the dangers of mechanical conceptions
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