- Oct
- 23
- 2009
- 1:40 PM
NYX 360 -- 10.23.2009
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca, NYSE Technologies
Trading in a box? A 360 is kind of like a week's blogging in a box. And then some.
NYSE
- Oct
- 20
- 2009
- 9:30 AM
NYSE Euronext to Provide Transparency for Alternative Trading Systems
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca, NYSE Euronext
“This is an example of NYSE Euronext and the industry working together to develop a positive solution to address the lack of understanding regarding the extent and nature of ‘dark pool’ trading, which has been a concern for regulators and legislators.” -- Joseph Mecane, NYSE Euronext’s Executive Vice President and Chief Administrative Officer for U.S. Markets
- Oct
- 13
- 2009
- 3:36 PM
Dendreon's Stock Plunge, High-Frequency Trading, and the Difference That Listing on NYSE Could Have Made
- By: Ray Pellecchia
- File Under: NYSE
I am not kicking fully automated markets — we operate several ourselves — but I am suggesting that having people with assigned responsibilities to make fair and orderly markets in specific issues, and take action before such mistakes get to be much of a problem, is a benefit of the NYSE market model that is often overlooked.
- Oct
- 12
- 2009
- 11:37 AM
Trading Floor Is a 'Real-Time Lever,' Says NYX CEO Duncan Niederauer
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
"I think what's unique is the market model that's different. I think we have an ability, I view it as a real-time lever, where we've got a floor, we can intervene human judgment, and no other all-electronic marketplace can. Even our own all-electronic marketplace. We run the NYSE Arca platform that's all electronic to compete with the other all-electronic markets like Nasdaq, like Direct Edge, like BATS." -- Duncan Niederauer
- Oct
- 09
- 2009
- 4:48 PM
Introducing 'NYX Aggregator' (unless you have a better name to suggest)
- By: Ray Pellecchia
- File Under: Listed Companies, NYSE, NYSE Euronext, NYSE Technologies
Starting today, I'm trying something new: NYX Aggregator, a weekly summary of news from or about NYSE Euronext and its various markets, products, and services. Items from here, there and everywhere, filtered through the glass onion of yours truly, and I think that's enough Beatles references for one sentence. But hey, cut me some slack -- today is John Lennon's birthday.
- Oct
- 08
- 2009
- 3:49 PM
Rebirth of a Trading Floor
- By: Ray Pellecchia
- File Under: NYSE
More than a new look, it's designed to enhance the way business is done on the trading floor and in the NYSE market as a whole.
- Oct
- 08
- 2009
- 1:20 PM
Growth in NYSE’s Liquidity Provider Programs
- By: Ray Pellecchia
- File Under: NYSE
From my colleague Colin Clark in Strategic Analysis:
Since the rollout of the new market model in October 2008, NYSE continues to evolve and grow its three unique liquidity provider programs: 1) Designated Market Makers (DMMs), 2) Supplemental Liquidity Providers (SLPs), and 3) Floor Brokers. The volume traded by this group has nearly doubled in 11 months. Together these programs account for 26% of NYSE volume, up from 13% in November 2008. NYSE’s low take fees, coupled with the strong liquidity provision from the DMMs and SLPs, help make NYSE a superior venue to send your orders.
- Sep
- 24
- 2009
- 9:59 AM
Notable Quotes on High-Frequency Trading
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca
"Being smarter and faster than your competitors, whatever your business, has been a guiding principle of companies worldwide for decades. So why are these ideas suddenly thrown out when it comes to high-frequency trading models that have been around for nearly a decade?"
- Sep
- 23
- 2009
- 9:34 AM
If SEC Is Going to Restrict Short Selling, Best Option Is an Always-On Bid Test
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca, NYSE Euronext, NYSE Regulation
"...[W]e believe it represents the best balance between restrictions and operability, and would therefore promote public confidence without unduly inhibiting legitimate short-selling."
- Sep
- 21
- 2009
- 2:43 PM
NYSE and NYSE Amex: Best Price and Size in Small-Cap Issues
- By: Ray Pellecchia
- File Under: Listed Companies, NYSE, NYSE Amex
From Steven Poser: The parity model, coupled with DMM responsibilities means there is no better place to send your order for an issue listed on the NYSE or NYSE Amex. Compare our quoted spreads to other exchanges that try to compete with us.
- Aug
- 19
- 2009
- 6:04 AM
High-Frequency Trading Helps Narrow Quoted Spreads
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca
From Steven Poser: Spreads have narrowed since Reg. NMS implementation for the highest-volume stocks, where high-frequency trading tend to be more prevalent.
- Aug
- 18
- 2009
- 2:28 PM
How the NYSE Trading Floor Prevented a Big, Erroneous Trade Today
- By: Ray Pellecchia
- File Under: NYSE
Had we been completely electronic, the erroneous orders would have just ripped though the market, taking the stock price down until the mistake was discovered later, then probably being cleaned up with hundreds or thousands of trade cancellations.
- Aug
- 17
- 2009
- 7:30 AM
NYSE Magazine Releases Golden Issue
- By: mricciardi
- File Under: NYSE
From Marisa Ricciardi: Today nyse magazine achieved two milestones –the release of its 50th issue and the results of its fifth annual CEO survey, the NYSE Euronext 2010 CEO Report.
- Aug
- 13
- 2009
- 5:47 PM
A Different Perspective on Market Share
- By: Ray Pellecchia
- File Under: NYSE
We fight and compete hard for every order, and we remain the over all market leader for trading in our listed issues. But market share has to be viewed in context.
- Aug
- 13
- 2009
- 3:45 PM
At NYSE, Cultural Change=More IPOs
- By: Ray Pellecchia
- File Under: NYSE
I can tell you from the inside, there has indeed been a cultural transformation. The market that once waited for companies to mature elsewhere before listing them now competes for them even before their IPO. That marks a cultural shift. So does the fact that our CEO candidly tells a customer that our technology has to get faster, and then goes out and *makes it faster*.
- Aug
- 05
- 2009
- 5:37 PM
Today's NYSE Closing Trade in Citigroup Was a Record 347 Million Shares+
- By: Ray Pellecchia
- File Under: NYSE
Yes, that's a single trade -- more than 347 million shares.
I was on the floor for the close, and the final trade went smoothly, with dozens of brokers in the crowd, providing color to customers; imbalances disseminated automatically right up to the close; more than 100 customers on an open phone line with our staff to get operational updates; an ideal blend of high-touch and high-tech elements.
- Aug
- 03
- 2009
- 5:39 PM
News About NYSE Arca Technology, Order Types, MatchPoint, Market Data, NYSE Amex Auctions, Algos for Floor Brokers, Lower Latency and More
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca, NYSE Technologies
Plus, an interesting historical tibit for today, remembering back to when the market sailed the high seas just before it sunk to the bottom.
- Aug
- 03
- 2009
- 3:42 PM
'NYSE Floor Brokers Bullish' on Next-Generation Trading Floor
- By: Ray Pellecchia
- File Under: NYSE
"Neil Catania, chief executive of MND Partners, is a believer. The trader has been on the floor for 27 years and is looking to expand his 12-person operation to 40 traders over the next year or so. He has considered opening an upstairs desk, but has decided to work with the exchange on the pod project." reports Traders magazine.
- Aug
- 03
- 2009
- 3:15 PM
NYSE Euronext's Duncan Niederauer on Trading, Regulation, Clearing and Optimism
- By: Ray Pellecchia
- File Under: NYSE
Forbes breaks down the conversation into the following chapters:
• NYSE's Optimist
• Rebranding Specialists
• Trading Technology
• Fast Money
• Blocking The Blocks
• Naked Shorts
• Regulatory Reform
• CDS Clearing
• Lending Standards
- Jul
- 27
- 2009
- 5:49 PM
NYSE Euronext Talks About 'Flash' Orders, High-Frequency Trading and Co-Location
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca, NYSE Euronext
Larry Leibowitz, our group executive VP in charge of U.S. Markets and Global Technology, spoke with CNBC earlier today to clarify the issues and our position concerning "flash" orders, high-frequency trading and co-location of servers.
- Jul
- 27
- 2009
- 5:33 PM
The Next-Generation Trading Floor
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex
You might have read in Traders magazine about NYSE Euronext's plans to renovate the trading floor, replacing cramped broker booths with modern trading desks, new screens and workspaces, and a new network. Here's CNBC's report on the same subject.
The NYSE trading floor is a great place for a community of agents, and the idea is to make it the most attractive place to represent customers no matter what market you're working, no matter whether you're working an order electronically or physically or both. And I mean attractive in the sense of functionality, flexibility, aesthetics, access to liquidity, and costs.
- Jul
- 24
- 2009
- 11:14 AM
'The Problem with Exchanges Giving Their Members Dark Looks'
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca
Media coverage continues to grow on the issue of certain marketplaces holding up orders and giving certain members a look at those orders before they are executed.
- Jul
- 01
- 2009
- 10:53 AM
DOT's All, Folks! -- NYSE Replaces SuperDOT, Cutting Order-Execution Time to 5 Milliseconds from 105
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca
NYSE customers are experiencing trade executions and reports within five milliseconds, as well as order and cancellation acknowledgments in just two milliseconds. "For the first time on NYSE, customers can employ the benefits of competitive speed and automation in addition to our longstanding value of high-touch price discovery on the only U.S. exchange cash equities trading floor," says Lou Pastina, executive VP of NYSE Operations.
- Jun
- 30
- 2009
- 4:43 PM
NYSE Circuit-Breaker Levels for 3Q 2009
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca
As I always say, may we never need to consult these procedures, but here they are, just in case.
Hey, a trivia question: How many shareholders were there in the U.S. in 1952?
a) 650,000
b) 1 million
c) 6.5 million
d) 16 million
Read on for the circuit-breakers and the trivia answer.
- Jun
- 26
- 2009
- 3:07 PM
'Inching Toward Dark Pool Reporting'
- By: Ray Pellecchia
- File Under: NYSE
"Without an absolute industry protocol, we're advocating doing what exchanges have been doing for a very long time: reporting single-counted matched-only volume," said Dave Johnsen, vice president for Sigma X business development at Goldman. "If everyone else puts themselves on the same metric, the dark-pool numbers will add up to 100 percent of dark-pool volume."
- Jun
- 26
- 2009
- 8:27 AM
Russell Reconstitution Today
- By: Ray Pellecchia
- File Under: Indices, NYSE, NYSE Amex
After I've been nagging you for a week, today it's finally here: the annual reconstitution of the Russell indices, when hundreds of NYSE- and NYSE Amex-listed issues go in and out of the indices.
That also means today is the final installment in our little Great Russells in World History series. I've saved my personal favorite for last. Today's Great Russell is.....
- Jun
- 25
- 2009
- 4:31 PM
Today's Great Russell in World History
- By: Ray Pellecchia
- File Under: Indices, NYSE, NYSE Amex
"The paradox arises in connection with the set of all sets that are not members of themselves. Such a set, if it exists, will be a member of itself if and only if it is not a member of itself."
And you didn't think you were going to learn anything today!
- Jun
- 19
- 2009
- 7:37 PM
Russell Indices Reconstitution A Week From Today
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex
As an additional public service to help you keep this big, annual market event in mind for the next week, starting today I'm giving you the first in a series of Great Russells in World History. Collect 'em all.
Today's inaugural Great Russell: .... read on.
- Jun
- 19
- 2009
- 2:12 PM
While Others Remain In The Dark, NYSE Adds Transparency
- By: Ray Pellecchia
- File Under: NYSE
Beginning on Monday, 22 June, NYSE will begin including trading-floor brokers' d-Quotes and pegging e-Quotes eligible to trade in the close in the NYSE closing order-imbalance information that is disseminated beginning at 3:55 p.m.
The goal is to increase transparency and provide opportunities for contra-side interest to develop, thereby decreasing volatility and ultimately contributing to the maintenance of a fair and orderly market.
- Jun
- 18
- 2009
- 2:31 PM
Quarterly Expiration Tomorrow, 19 June
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca
In case you missed it: tomorrow is the quarterly expiration of stock and index options and futures. The second quarter is drawing to a close.
Where does the time go?
While you're pondering that, here's an Information Memorandum (is there any other kind of memo? -- I mean, can there be a memorandum without information, aren't we being a little redundant?) about procedures you might want to freshen up on in connection with the expiration.
- Jun
- 15
- 2009
- 4:03 PM
'Exchanges' anonymous trading sets off alarms'
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca
"If you do it fast and electronically, it's OK, and, if humans do it on the NYSE floor, they get prosecuted," Brown says.
- Jun
- 05
- 2009
- 4:17 PM
'US Making Comeback as IPO Destination'
- By: Ray Pellecchia
- File Under: Listed Companies, NYSE, NYSE Amex, NYSE Euronext
"The U.S. capital market is still the most mature in the world, has the deepest pool of liquidity and has the broadest shareholder base," said Scott Cutler, the head of listings at New York Stock Exchange parent NYSE Euronext.
- Jun
- 01
- 2009
- 3:37 PM
'One of the Best Venues for Competition, Liquidity, Depth of Book' and Price Discovery
- By: Ray Pellecchia
- File Under: NYSE
That's Securities Industry News quoting Anthony Conroy, head trader at BNY ConvergEx, the firm that ranks third in terms of NYSE execution volume, talking about recent changes at NYSE.
- May
- 29
- 2009
- 10:50 PM
'NYSE Asks SEC to Strike Down Nasdaq, Bats Plan to Hold Orders'
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca, NYSE Euronext
As our letter says, NASDAQ and BATS are seeking "to:modify their respective routing strategies to provide preferential treatment for their own market participants before routing orders to away markets" and "provide non-public order information to a select class of market participants at the expense of a free and open market system."
- May
- 29
- 2009
- 12:09 PM
'Key Issues Facing the Financial Markets: Time to Re-Engage'
- By: Ray Pellecchia
- File Under: Liffe derivatives, NYSE, NYSE Amex, NYSE Arca, NYSE Euronext, Universal Trading Platform
Our market structure has gone astray, Larry Leibowitz told an industry market-structure conference this week; time for everyone to step up and engage in the dialogue about solutions before the opportunity passes.
- May
- 22
- 2009
- 1:45 PM
'A Very Different and Dynamic Picture of Today's NYSE Trading Floor'
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex
In the two-sides-to-every-story context, two letters representing the views of hundreds of NYSE floor brokers were sent to the Wall Street Journal to add a bit of balance and reality to an article that appeared in the newspaper’s May 4 edition. The Journal has not printed the letters, and since we feel it's a story worth telling, here are the letters.
- May
- 22
- 2009
- 1:24 PM
'Stock Offerings Take Wing'
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Euronext
The dollar sizes are modest and there aren’t many of them, but initial public offerings and secondary stock offerings are showing a surprising bit of life. “I call it a streak in the first inning,” says Scott R. Cutler, an executive vice president at NYSE Euronext who runs the exchange company’s listing for the Americas.
- May
- 21
- 2009
- 1:12 PM
NYSE Euronext Rolls Out Sponsored Deep Value Algorithms to Trading Floor Brokers
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Euronext
If you use floor brokers to help you execute your trading strategies (or are considering doing so), you might want to speak with a broker about how their algorithmic capabilities can help them best represent your orders.
- May
- 20
- 2009
- 2:31 PM
SEC Trading Official Lays Out Concerns About Dark Pools, Transparency, Fragmentation
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca, NYSE Euronext
In addition to concerns about price discovery and accurate trade reporting, Brigagliano targeted indications of interest sent between dark pools as another potential concern for regulators.
- May
- 18
- 2009
- 4:22 PM
'Direct Edge's ELP Program Causing Market Brouhaha'; 'Private Exchanges Looking to Turn Back Clock'
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca
Flashing orders to a select group, even if the group is not limited by the market center's rules, runs contrary to other regulations, though, said Jamie Selway, managing director at White Cap Trading and former chief economist at Archipelago, one of the pioneering ECNs.
- May
- 15
- 2009
- 1:11 PM
The Secondary Markets are Humming
- By: scutler
- File Under: Listed Companies, NYSE, New York Block Exchange
From Scott Cutler: If you haven't noticed, there has been a tremendous amount of capital raised in the last few weeks. A total of $60B has been raised in secondary offerings so far this year, with 2/3rd of that since April 1, and 50 percent ($30B) in the last two weeks. The five top deals account for about a third of all secondary capital raised. Wells Fargo--$7.5B, Goldman--$5B, Morgan Stanley--$4B, ArcelorMittal--$2.9B, and US Bancorp--$2.5B.
- May
- 11
- 2009
- 4:08 PM
How a Floor Broker Can Help You
- By: Ray Pellecchia
- File Under: NYSE
Bernie McSherry: "The big names that are very liquid, there's not a lot of money that a broker can save for you. You know, if something is offered at 30 cents in very large size, I'm probably going to pay 30 cents when I get there and I'm not going to really make a difference. But in a stock that's thinly traded, those secondary and tertiary names, those stocks really fluctuate quite a lot. And the algorithms aren't really good at spotting those breaks in patterns. And human beings are good at pattern recognition. We notice when they're forming. We notice them when they are interrupted and a broker is adding value there."
- May
- 11
- 2009
- 1:44 PM
Bigger Quotes at NYSE; New Order Type at NYSE Arca; Better Openings at NYSE Amex; and More
- By: Ray Pellecchia
- File Under: ETFs / Indexes, Liffe derivatives, NYSE, NYSE Amex, NYSE Arca
The average size of NYSE's quote improved to 1,381 shares in March from 771 in August 2008, a 79% increase. In the top 100 issues, quoted size surged to 13,440 shares on NYSE from 4,030 in November.
That's one bit of news from our U.S. Equities newsletter. More after the jump.
- May
- 08
- 2009
- 2:50 PM
'Are The Public Markets Finally Beginning to Thaw?'
- By: Ray Pellecchia
- File Under: Listed Companies, NYSE
The market for initial public offerings is still difficult to access for start-ups, but there are signs the window finally may be opening, our CEO Duncan Niederauer and U.S. Listings chief Scott Cutler told a group of reporters in our Palo Alto, Calif. office yesterday.
- Apr
- 11
- 2009
- 10:45 AM
Peggy Noonan: 'Lessons From the Recovery of 2001'
- By: Ray Pellecchia
- File Under: NYSE
"Noble. Constructive. Admirable.
"When was the last time anyone thought of Wall Street like that?
"There was a moment, a very public one well within memory, that was all of those things. And it might help the coming generation of business leaders to keep its lessons in mind.'"
- Apr
- 08
- 2009
- 8:43 AM
Larry Leibowitz on Bloomberg TV @ 9 a.m. re: Restricting Abusive Short Selling
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca
Larry Leibowitz, our group exec VP in charge of U.S. Markets and Global Technology, is scheduled to be on Bloomberg TV at 9 a.m. today to talk about restricting abusive short selling.
- Apr
- 06
- 2009
- 10:18 AM
Bob Newburger Profiled in N.Y. Times: 'A Lifetime of Perspective on Wall Street’s Hard Times'
- By: Ray Pellecchia
- File Under: NYSE
“It isn’t eighths and quarters or decimal points — it’s people."
- Mar
- 26
- 2009
- 4:16 PM
Closing Argument
- By: Ray Pellecchia
- File Under: ETFs / Indexes, Listed Companies, NYSE, NYSE Amex, NYSE Arca
Deeper liquidity, more accurate price discovery, broader participation, all at one of the most critical times of the trading day.
- Mar
- 24
- 2009
- 1:17 PM
Exchanges File Joint Proposal to SEC for Modified Uptick Rule and Circuit Breaker
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca
"The Commission can, we believe, adopt a similar but simple, effective and more
prohibitive Short Sale restriction that takes into account how equity trading has changed
over the past several years since the original Uptick Rule was eliminated."
- Mar
- 16
- 2009
- 4:40 PM
Linkstock: CDS Clearing Rules May Vary; Autism Awareness Day on April 2; Great Fire of 1935
- By: Ray Pellecchia
- File Under: Liffe derivatives, NYSE
Exchanges vying to clear credit derivatives say there is room for several to succeed; World Autism Day will kick off with the NYSE Opening Bell; the Great Fire of 1835 is recalled with a vivid blog post and podcast.
- Mar
- 13
- 2009
- 9:50 AM
Traders Mag on NYSE Rebates, Option Breakpoints and Sponsored Access
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca, Options
Three items of particular interest in the March Traders Magazine
- Mar
- 10
- 2009
- 4:54 PM
The Uptick Rule Rally
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca
I actually don't know if today's rally had anything to do with talk of restoring some version of the "uptick rule," which is a restriction on short selling in downward-moving markets. Correlation, causation, who cares -- I'll take today's rally and leave the analysis to the experts.
There still are some people regarded as experts, yes?
- Mar
- 09
- 2009
- 4:17 PM
Barclays Capital Expands as NYSE Designated Market Maker; NYSE Arca Europe Launches; Trading Volumes for February; China Green Agriculture Lists on NYSE Amex
- By: Ray Pellecchia
- File Under: Liffe derivatives, NYSE, NYSE Amex, NYSE Arca, NYSE Euronext
Four bits of news today from these parts.
- Mar
- 06
- 2009
- 4:48 PM
Enhanced Handling of MOC and LOC Orders Begins Monday, 9 March
- By: Ray Pellecchia
- File Under: NYSE
As a reminder: these changes are designed to attract stabilizing liquidity to NYSE-listed issues with significant imbalances at the end of the trading day.
- Mar
- 06
- 2009
- 2:36 PM
Traders Mag Interviews Author of Stock-Trading-Tax Legislation
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca
"Every year, roughly 5,000 bills are introduced, while a few hundred pass, he added. DeFazio's hope this time is that the tax becomes part of the Ways and Means conversation about how to recoup the TARP funds. 'I am throwing it into the mix,' he said, 'but I have no expectations.'"
- Mar
- 05
- 2009
- 2:45 PM
NYSE Chief Renews Call for Uptick Rule
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca, NYSE Euronext
Duncan: "If the question is, 'Would people think it's a fairer game if we had an uptick rule?' the answer is 'Yes.'"
- Mar
- 04
- 2009
- 2:34 PM
Trading Tax Would 'Decimate' Markets, NYSE's Niederauer Says (Bloomberg)
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca, NYSE Euronext
"It would decimate liquidity in the market in an unprecedented way," my boss said.
- Mar
- 02
- 2009
- 5:29 PM
The BATS Decoder Ring, Episode 1
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca, NYSE Euronext
But what Mr. Ratterman doesn't say is that he's making an apples-and-oranges comparison. BATS trades NYSE-, NYSE Amex- and Nasdaq-listed issues, while NYSE trades only NYSE-listed issues. Let's look at the real, apples-to-apples comparison.
- Mar
- 02
- 2009
- 3:25 PM
WSJ: 'NYSE Speeds Trades to Meet Competitors'
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, New York Block Exchange, Options
Pricing is one component of enhanced competitiveness; speed is another; the others are new trading tools and rules designed to maximize liquidity. And the only differentiated market model around, don't forget that one. Stay tuned here for more on this front.
- Feb
- 27
- 2009
- 12:18 PM
Universal Trading Platform Brings More Speed, Efficiency, Plus Lower Costs
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca, NYSE Euronext, Universal Trading Platform
To me, all of these changes -- ranging from lower latency for low-touch trading to enhanced capabilities for high-touch trading -- demonstrate that NYSE Euronext is continually looking to hone our diverse platforms to serve our diverse customer base. The global marketplace is becoming ever more competitive, and NYSE Euronext is becoming more competitive right along with it.
- Feb
- 12
- 2009
- 2:00 PM
NYSE and NYSE Amex Move to a Single-Print Close for Imbalances
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex
"The consolidation of the prints...will reduce the amount of manual information to be reported by the [Designated Market Maker], thus increasing the speed and efficiency of the closing process, ultimately improving the quality of both markets with timelier reporting of closing transactions."
- Jan
- 20
- 2009
- 6:03 AM
Update on New Enhancements to NYSE's Trading Model
- By: Ray Pellecchia
- File Under: NYSE
Although these trends are positive, we are anything but complacent. These sense I get from hanging around colleagues and members is that they're still in overdrive, developing and rolling out enhancements to what we do. As Lou Pastina, our Executive VP of NYSE Operations, told me: "We've turned the corner, but there's more to come."
- Jan
- 14
- 2009
- 10:09 AM
Linkstock: Single Order Book in Europe; Sub-Penny Reports from NYSE; Honoring an NYSE Pioneer; Hamilton's Bonds; and More
- By: Ray Pellecchia
- File Under: NYSE, NYSE Euronext
Our European markets are introducing a single order book to make cross-border trading simpler and easier, and centralize liquidity.
Plus: NYSE to send sub-penny reports; paying tribute to a pioneer/linebacker/publisher/poet; the language of markets keeps growing; and Mr. Hamilton issues the first U.S. debt, the start of something big (for New York, the U.S., and for the national debt itself, of course).
- Jan
- 13
- 2009
- 10:59 AM
Linkstock: Blocks, Consolidation, Globalization and More
- By: Ray Pellecchia
- File Under: NYSE, NYSE Euronext
Plus: reviewing studies about short-selling; the Super Bowl indicator; the start of the New York gold market; and: "Finger length provides rule of thumb on traders' profitability."
- Jan
- 12
- 2009
- 2:06 PM
See the Inauguration at the Place Where Inaugurations Began
- By: Ray Pellecchia
- File Under: NYSE
Next week, we will witness another historic event when Barack Obama is sworn in as the 44th president of the United States. To honor this moment, the NYSE will ring the Opening Bell from the steps of Federal Hall -- the place where it all began -- with local school children, representatives from the Parks Department and the Lower Manhattan Development Corp. Some of our great listed companies, including General Electric, Kraft and Coca-Cola, are also scheduled to participate.
We will host a public viewing of the Inauguration via jumbo TV screen in front of the NYSE building beginning at 11:30a.m. If you are in the neighborhood, please stop by to watch!
- Jan
- 09
- 2009
- 9:09 AM
Double-Digit Growth in NYX U.S. and European Equities and Derivatives Trading Volume in 2008
- By: Ray Pellecchia
- File Under: ETFs / Indexes, Liffe derivatives, NYSE, NYSE Amex, NYSE Arca, NYSE Euronext, Options
Plus, results for December 2008.
- Jan
- 07
- 2009
- 11:05 AM
Duncan on Equity Culture; Markets Open on Inauguration Day; MatchPoint Revving Up; Capitalism and Trust
- By: Ray Pellecchia
- File Under: MatchPoint, NYSE
UNTERMYER: Is not commercial credit based primarily upon money or property?
MORGAN: No, sir: the first thing is character.
UNTERMYER: Before money or property?
MORGAN: Before money or anything else. Money cannot buy it.
- Jan
- 02
- 2009
- 12:46 PM
NYSE Euronext CEO Duncan Niederauer on 2008: Volatile, Orderly...and Tiring!
- By: Ray Pellecchia
- File Under: Bonds, ETFs / Indexes, Liffe derivatives, NYSE, NYSE Amex, NYSE Arca, NYSE Euronext, Options
One of his key points: Using transparent, regulated markets to bring more sunlight and liquidity to opaque, less regulated securities would be preferable to writing reams of new regulations.
- Jan
- 02
- 2009
- 8:20 AM
Feedback About Madoff and Payment for Order Flow
- By: Ray Pellecchia
- File Under: Miscellaneous, NYSE
Where does the balance of competition versus fragmentation net out? Are we better off today? Do customers know enough about how their trades are handled? Can this new marketplace be regulated effectively? The answers will impact the public's confidence and participation in our financial markets.
- Dec
- 31
- 2008
- 5:16 PM
Linkstocking: New Circuit-Breaker Levels; CDS Clearing; Trading Floor, Past or Future; Best Blogs of 2008; Seeking Alpha
- By: Ray Pellecchia
- File Under: NYSE, NYSE Euronext
Plus, remembering an un-memorable New Year's Eve: Y2K.
- Dec
- 29
- 2008
- 6:25 AM
The Madoff Scandal and Payment for Order Flow
- By: Ray Pellecchia
- File Under: NYSE
News articles about the Bernard Madoff scandal are beginning to focus on Madoff's earlier days in the business, when he and his firm were best known as the leading practitioners of "payment for order flow," and as driving forces behind the growth of the "third market" as well as Nasdaq. In this post I'll parse two articles on the topic that have appeared in the last few days, as well as a relevant blog post.
- Dec
- 22
- 2008
- 1:58 PM
Linkstock: Take Tomorrow Afternoon Off!; Unshackling Short Sellers; 2008 Lookback; Corporate Blogs and Credibility
- By: Ray Pellecchia
- File Under: NYSE
"Repeal [of the "uptick rule"] causes market liquidity to worsen slightly, and short sellers on average become less contrarian...We find no evidence that repeal of the uptick rule destabilized prices or otherwise contributed to the bout of volatility experienced by U.S. stocks in late July and early August 2007."
- Dec
- 19
- 2008
- 3:08 PM
MOC/LOC Changes Postponed; Arca Adds Depth Routing; Short-Sale Woes; SLP Program Starts; NYSE Fights Back; Nasdaq Extends Listing Rule Suspension
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
And Jay Leno names the Ponzi scheme.
- Dec
- 19
- 2008
- 8:33 AM
Quarterly Expiration Today
- By: Ray Pellecchia
- File Under: NYSE, NYSE Amex, NYSE Arca
And which would you prefer: Pottersville or Bedford Falls?
- Dec
- 15
- 2008
- 6:06 AM
NYSE Enhances MOC/LOC Handling for All Customers
- By: Ray Pellecchia
- File Under: NYSE
The NYSE expects that this change will help further strengthen the NYSE’s current leadership in providing customers with the largest pool of liquidity and the most accurate price discovery at the close, one of the most critical times of the trading day.
- Dec
- 11
- 2008
- 9:32 AM
Linkstock: Threshold Lists Shrink, Volatility Doesn't; the 3PM Opening Bell; Top Financial Collapses of 2008
- By: Ray Pellecchia
- File Under: NYSE
"Since Oct. 1, there have been 14 days in which the Dow made more than half of its gains or losses within the last hour of trading."
- Dec
- 09
- 2008
- 12:24 PM
An Uptick In Talking About The Uptick Rule
- By: Ray Pellecchia
- File Under: NYSE
I think the "uptick rule" is talked about more now that it's gone than it ever was when it existed. Looks like another round of debate is starting up.
- Dec
- 08
- 2008
- 10:00 AM
Linkstock: November Volume, ETF Screener, NYX To Present At Financial-Services Conference
- By: Ray Pellecchia
- File Under: Liffe derivatives, NYSE, NYSE Amex, NYSE Arca, NYSE Euronext, Options
NYSE Euronext registered increased trading activity on U.S. cash equities and options exchanges in November and strong year-to-date volume gains across all its global multi-asset platforms.
Plus: One very dark day in rock-music history.
- Dec
- 05
- 2008
- 9:50 AM
WSJ: 'SEC Approves, Again, NYSE's Fees for Data'
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
This is an important decision that enables the exchanges to bring data products to market in a streamlined and competitive manner. The SEC worked long and hard to get to the right answer. The winners will be data-consuming customers and the public in addition to the exchanges themselves.
- Nov
- 26
- 2008
- 3:28 PM
New Rules of the Road for Trading at NYSE
- By: Ray Pellecchia
- File Under: NYSE
This information memo lays out very thoroughly (13 pages) and in simple-enough-that-even-Pellecchia-will-get-most-of-it language the major changes in the NYSE trading model we've been talking about lately on this humble blog.
- Nov
- 21
- 2008
- 9:29 AM
Institutional Investor Magazine: 'Up Off The Floor'
- By: Ray Pellecchia
- File Under: NYSE
“This difficult environment is giving us a chance to prove our value to all our clients,” says Lawrence Leibowitz, head of U.S. execution and global technology.
Plus: NYSE-listed stocks are ranked the world's least expensive to trade, for at least the third year in a row, and the cost keeps going down.
- Nov
- 14
- 2008
- 12:28 PM
Starting Monday, 17 Nov., No More NYSE 'Sub-Penny Halts'
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
We've changed our system to be able to recognize sub-penny prices at which other markets might quote those stocks, so we can route to those markets if appropriate, as required by Reg. NMS if another market posts a better price.
- Nov
- 14
- 2008
- 8:31 AM
NYSE Completes Phase 1 of Next-Generation Rollout Is Complete; Phase 2 Underway
- By: Ray Pellecchia
- File Under: NYSE
A progress report.
- Nov
- 12
- 2008
- 2:02 PM
Redefining the Roles of Key NYSE Market Participants
- By: Ray Pellecchia
- File Under: NYSE
As the New York Stock Exchange continues the rollout of our next-generation trading model, and recognizing that we're making significant changes, I thought it might be useful to summarize the main roles and responsibilities of each of the three key market participants: Designated Market Makers, who have succeeded Specialists; Trading Floor Brokers, with their new tools; and the new Supplemental Liquidity Providers.
- Nov
- 12
- 2008
- 1:58 PM
In nyse Magazine: Electronic Prescriptions, Travel Price Assurance, Cleaner Energy, A Look at Canada, And More
- By: Ray Pellecchia
- File Under: NYSE
Here's a rundown on the new issue of nyse magazine.
- Nov
- 05
- 2008
- 3:08 PM
Linkstock: Reference Materials for NYSE's Next-Generation Market Model
- By: Ray Pellecchia
- File Under: NYSE
Here are a few links to reference information about the rollout of the next generation of New York Stock Exchange. Hope it's of some use, and apologies for not pulling this together sooner. The world is turning too fast for this old analog guy.
- Nov
- 04
- 2008
- 3:16 PM
Every Picture (of the Financial Crisis) Tells a Story, Don't It?
- By: Ray Pellecchia
- File Under: NYSE
Maybe it's that the editors are looking for a photo that will give the reader a shorthand way to know what's happening. The reader sees a chart pointing down, a photo of a trader with head in hands, and the reader immediately knows what kind of a day it was in the market. I hope editors will also remember that fans of newspapers and markets look to papers for compelling, different photos to go along with in-depth, insightful articles. Give us something that grabs us and draws us in.
- Nov
- 03
- 2008
- 11:52 AM
Scenes From a Trading Floor
- By: Ray Pellecchia
- File Under: NYSE
"Mr. Trimble, 41, works at the edge of the exchange’s main floor, shoulder to shoulder with six other men in a booth the size of an elevator car. Not everyone graduated from college, but all are resident scholars of the hurly-burly floor, educated in reading markets, hunting for matches and executing buy-and-sell orders. They are worth their commissions, they say, because they provide things a computer cannot, things like experience, intuition — a 'feel.'"
- Oct
- 30
- 2008
- 9:28 AM
Talking About NYSE's New Supplemental Liquidity Providers
- By: Ray Pellecchia
- File Under: NYSE
"The goal, according to the exchange, is to generate more quoting activity, leading to tighter spreads and greater liquidity at each price level."
- Oct
- 29
- 2008
- 9:01 AM
FT: 'Investors put trust in people at NYSE'
- By: Ray Pellecchia
- File Under: NYSE
"But over the past six weeks, the participation of specialists has been running at almost three times the year-to-date average, according to analysts and sources close to the exchange. Floor brokers have also seen a sharp uptick in activity and account for 10 per cent of volume, up from 4 per cent at the start of the year."
- Oct
- 24
- 2008
- 5:11 PM
'...It's People Who Get It Done'
- By: Ray Pellecchia
- File Under: NYSE
A colleague pointed out that the commentators in this CNBC segment say some nice things about how smoothly stocks opened here this morning, given the futures activity that preceded it.
- Oct
- 24
- 2008
- 11:58 AM
Enhancements Of NYSE Trading Model APPROVED
- By: Ray Pellecchia
- File Under: NYSE
OK, I know, the market looks grim today, but how long have I waited to post this news? Exactly as long as you've waited to see it, my friends. This is one press release I was happy to write and have been dying to publish. More details about the rollout will follow in the coming days.
- Oct
- 24
- 2008
- 8:31 AM
Opening Bell Will Ring 9:30AM As Usual Today
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
We've been hearing a lot of rumors of a market closure or delayed opening opening today. All untrue. Opening Bell will ring at 9:30 a.m. as usual.
We've also been hearing the question, "What are the circuit-breakers again?" So just for reference, and with the fervent hope we won't need them, here is a link to our clock graphic, and an explanation of how they work.
- Oct
- 23
- 2008
- 3:41 PM
Late Market Moves: Not Just Your Imagination
- By: Ray Pellecchia
- File Under: NYSE
Research bears out the perception that the last hour of the day accounts for an disproportionate amount of market volatility.
- Oct
- 23
- 2008
- 3:04 PM
'Exchanges To Tackle Erroneous Trades Issue'
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
Here is welcome news for the trading community: "The major exchanges, in the wake of trading snafus in recent weeks, vowed to work together to craft and synchronize policies targeting error trades."
- Oct
- 22
- 2008
- 5:25 PM
Dark Pools: Going Beyond The Dark
- By: Jim Ross
- File Under: MatchPoint, NYSE
For a dark pool to be truly effective across the transaction-cost spectrum (and thus capable of trading large blocks), it needs to be more than just “dark.”
- Oct
- 21
- 2008
- 6:34 PM
'Nasdaq Overlooks Own Rule to Rescue Bruised Stocks'
- By: Ray Pellecchia
- File Under: NYSE
For those of you who accuse me of being a Nasdaq hater, that's Reuters's headline, not mine. If you'd prefer, you can take the DealBreaker blog's headline on the same subject: "Rules Were Meant To Be Broken."
- Oct
- 17
- 2008
- 3:59 PM
Arca Targets Erroneous Trades; Amex Starts Transformation; and Why OTC Derivatives are OTC
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
"That will give the competing markets a chance to refresh their top-of-book prices, thereby preventing customers from executing at wildly different top-of-book prices."
- Oct
- 17
- 2008
- 3:33 PM
A Tough Time in the Market, Yes, But Not THAT Tough
- By: Ray Pellecchia
- File Under: NYSE
The Grim Reaper, in some pimped-out getup, makes an appearance on our trading floor on the cover of the current New Yorker. "Read Death on Wall Street." Wow. Things have been tough, but not *that* tough! Have not seen any apocalypses, at least not yet. And the only grim figure I've seen around here was Ralph Nader running around outside yesterday with a microphone.
- Oct
- 16
- 2008
- 5:40 PM
Dow Closes 401.35 Points Higher
- By: Ray Pellecchia
- File Under: NYSE
And I'm at work, which means the jinx is OVER. Done with, past tense, finito.
- Oct
- 15
- 2008
- 10:20 AM
Of Everest and Ice Fields and the NYSE Trading Floor
- By: Ray Pellecchia
- File Under: Liffe derivatives, NYSE
I take that blog post as just one more sign of what's happening on NYSE. Museum, shmuseum. If we get these upcoming changes in our market model right, this fall and winter will feel more like spring around here -- a time of renewal.
- Oct
- 14
- 2008
- 12:49 PM
Exchange Launches NYSE Market Access Center to Provide Superior Market Intelligence to NYSE-Listed Companies
- By: Ray Pellecchia
- File Under: NYSE
"This service is designed for busy CFOs, CEOs and IROs who require an advisor for real-time market intelligence, which is high-touch, yet still need the flexibility of online access to breaking news and trading information, which is high-tech."
- Oct
- 14
- 2008
- 5:19 AM
Time to Slow Markets Down, But Not to Stop Them Altogether
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
When the water runs low in the stream, you see the rocks at the bottom. In the absence of euphoria, we see things as they really are. In stock markets, neither high-tech nor high-touch is perfect all the time, which is why having a combination or choice of the two is valuable.
- Oct
- 13
- 2008
- 9:13 PM
I Take a Day Off; Dow Surges Record 936 Points
- By: Ray Pellecchia
- File Under: NYSE
Maybe I should take the whole week off? And do everyone's 401(k) a big favor?
- Oct
- 10
- 2008
- 5:42 PM
Record NYSE Trading Volume Today* (And That Was Not the Easiest Way to Do It!)
- By: Ray Pellecchia
- File Under: NYSE
*It was 2,95 billion shares, the highest NYSE volume for a non-expiration day (that is, for a day that doesn't include the quarterly expiration of stock-index futures and options).
Plus: some notes on blog conversation.
- Oct
- 08
- 2008
- 8:44 AM
Links: NYX's European MTF Advances; Recapping Record September; Duncan Talks Short-Sale Ban and Economy; McNulty Chairs NYSE Liffe Board
- By: Ray Pellecchia
- File Under: NYSE
Catching up on a few items from overnight and the last day or so.
- Oct
- 06
- 2008
- 2:05 PM
How Volatile Is The Stock Market, In Historical Perspective?
- By: Ray Pellecchia
- File Under: Miscellaneous, NYSE
Any way you slice it, today's volatility, as Dr. Steenbarger put it, appears to be "...at very significant levels..."
- Oct
- 06
- 2008
- 9:06 AM
Rule 48 in Effect on NYSE; SEC Order on Short Selling to Expire on Wednesday Night, 8 Oct.
- By: Ray Pellecchia
- File Under: NYSE
May today be not nearly as bad as the futures and overseas markets are indicating.
- Oct
- 03
- 2008
- 1:49 PM
NYSE to Allow Offsetting Orders After 4 PM In Event of Extreme Volatility
- By: Ray Pellecchia
- File Under: NYSE
...[T]he Exchange believes that in an extreme market volatility condition at the close, the Exchange should be able to permit orders to be entered after 4:00 p.m. for the purpose of offsetting an imbalance that may exist as of that time and to cancel or reduce a market-on-close or limit-on-close order that is a legitimate error and would cause significant price dislocation at the close.
- Oct
- 03
- 2008
- 9:12 AM
- Oct
- 03
- 2008
- 8:25 AM
'Slow Quote' Time Plummets 68% in First Day of Wider LRPs
- By: Ray Pellecchia
- File Under: NYSE
That's a promising start, and I understand from colleagues that we're going to keep an eye on this, because LRPs might still be kicking in too often.
- Oct
- 02
- 2008
- 5:22 PM
Webcast Notes on Upcoming Changes in NYSE Market Model, Plus Differentiation
- By: Ray Pellecchia
- File Under: NYSE
Larry said the SEC had nearly completed its review of NYSE's next-generation market proposal, and he anticipates approval within days. NYSE will begin rollout within days after that, he said, adding that approval probably would have come already had it not been for the "current hurricane" of events impacting Washington. [On this front, I have to apologize for telling Exchanges readers this summer that approval would come in August. Last time I make a prediction about events beyond our control!]
- Oct
- 01
- 2008
- 8:42 AM
UPDATE: Moved to 1:15 p.m.: Issuer Webcast Today on Market Turmoil, Amex, Short Sales, Market Model, More
- By: Ray Pellecchia
- File Under: Miscellaneous, NYSE, NYSE Arca, Options
And instead of my usual Today in History feature, here's a look at the future: we announced last night that we completed the acquisition of the Amex. Here's the press release, and an excellent .pdf recounting Amex's history. Welcome aboard, new colleagues.
- Sep
- 30
- 2008
- 5:43 PM
Dow Jones: 'Specialists' Moves Mon May Have Staved Off Bigger Mkt Fall'
- By: Ray Pellecchia
- File Under: NYSE
"Black Monday could have been even darker," reports Dow Jones Newswires.
- Sep
- 30
- 2008
- 5:12 PM
NYSE Circuit-Breaker Levels for 4Q
- By: Ray Pellecchia
- File Under: NYSE
Fourth quarter? Yes, it's here tomorrow. Time flies when you're having, er, um....fun?
- Sep
- 30
- 2008
- 4:09 PM
NYSE Specialists More Than Doubled Their Trading Amid Yesterday's Crisis
- By: Ray Pellecchia
- File Under: NYSE
NYSE specialists executed 141.5 million shares, or more than double their average participation of 63.4 million shares year-to-date. When everyone else was running for the exit, particularly at the close when risk was greatest (because who in their right mind wanted to go home long?) specialists stepped up their capital commitment, to counter plunging prices.
If you don't think much of that, I ask you: who else was stepping up like that, especially at the close?
- Sep
- 30
- 2008
- 12:05 PM
LRP Ranges to Double, Effective Wednesday, 1 October
- By: Ray Pellecchia
- File Under: NYSE
LRPs are a bit too market-mechanics-minutia for some of you, but many of you traders have written to me about them. You've asked us to expand the ranges because the LRPs are triggered too easily, interrupting the flow of trading in a way that was never intended. Again, thanks for your input; we hear you.
- Sep
- 29
- 2008
- 5:29 PM
Duncan: 'Country Needs This [Bailout] Proposal'
- By: Ray Pellecchia
- File Under: NYSE
'Main Street is connected to Wall Street whether people realize it or not. I think that's evidenced by what you're seeing in the market today."
- Sep
- 29
- 2008
- 9:15 AM
WaMu Suspended; Rule 48 in Effect
- By: Ray Pellecchia
- File Under: NYSE
This NYSE Regulation press release announces that we're suspending WaMu common stock and two preferred issues.
- Sep
- 29
- 2008
- 8:39 AM
New: Consolidated List of Do-Not-Short Issues from Three Exchanges
- By: Ray Pellecchia
- File Under: NYSE
You can hate the ban on shorting these stocks, love it, or be indifferent, but at least it's easier to find which stocks are covered.
- Sep
- 26
- 2008
- 2:43 PM
The Difference Between NYSE and Nasdaq: Who Is Master, Man or Machine?
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
I don't intend this to diss electronic markets. Again, they did exactly what they were designed to do, and that's exactly what some people want markets to do. But I do intend to underscore something that is often misunderstood and misstated: The real struggle in markets is not man versus machine; it is machine versus man-with-machine.
There is a clear difference between NYSE Euronext and Nasdaq OMX, as illustrated last Friday, and that difference is choice for issuers and their investors and traders, and that difference is people. Even in this day of automation, choice and people really can and do make a positive difference.
- Sep
- 26
- 2008
- 9:04 AM
NYSE To Do One Trade in WaMu
- By: Ray Pellecchia
- File Under: NYSE
"Consistent with Reg NMS, NYSE will open WM and WM PRK for a single transaction, then immediately place it in an Operational Trading Halt under the NYSE Sub-penny Pricing rule.
Firms should cancel any orders in WM and WM PRK that are not executed in the Opening transaction. After the close of business today, NYSE will cancel any unexecuted orders in WM and WM PRK.
"Beginning Monday, 29 September 08, trading in WM and WM PRK will continue at NYSE Arca and other markets. Orders routed to the NYSE will be routed to NYSE Arca, with NYSE Arca pricing applied."
- Sep
- 24
- 2008
- 9:05 AM
Update on Do-Not-Short List, Plus Webcast Today About SEC's Order
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
On the same subject, we're doing a Webcast to our listed issuers today about the SEC's order and its implications for the market, featuring our CEO Duncan Niederauer and Rick Ketchum, CEO of NYSE Regulation. It's available for anyone to tune in.
- Sep
- 23
- 2008
- 3:57 PM
Normal Close on NYSE Today
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
"Consistent with the NYSE understanding of SEC Short Sale Rule and upon advice from the SEC, the NYSE will conduct a normal close today for its securities. NYSE expects its Specialists to close their securities using standard closing procedures."
- Sep
- 23
- 2008
- 8:35 AM
Another 40 Issues Added to the Do-Not-Short List
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
This Trader Update has the additional names, even in a handy Excel spreadsheet. Separately, on the historical trivia front: greetings from the New Jersey Stock Exchange.
- Sep
- 22
- 2008
- 9:55 AM
Updated List of NYSE Issues for SEC's Short-Sale Order
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
We just issued a Trader Update with the latest on the SEC's short-sale order, including the addition of 31 issues.
- Sep
- 19
- 2008
- 2:36 PM
Record NYSE volume at today's open
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
I was on the trading floor at the open today, and it felt like it hadn't felt in months -- more people, more intensity, a lot of capital being put to work. I've got to tell you, it felt good. I don't know if it was the quarterly expiration, the market rally, the news on short selling, the news on a federal solution to the financial crisis, or some combination of these. It wouldn't surprise me if today's participation by the trading floor in NYSE volume is again markedly higher than in the recent past.
- Sep
- 18
- 2008
- 6:00 PM
Record Use of NYSE Broker Algos Today; Whole Lotta Messages Goin' On
- By: Ray Pellecchia
- File Under: NYSE
A vote for high-touch when markets are rough and volatile. Our trading floor has high-tech tools, such as the broker algos, but there's a human behind them, not some bot you can't call. Old School meets New.
- Sep
- 18
- 2008
- 3:44 PM
NYSE Proposes Doubling LRP Ranges
- By: Ray Pellecchia
- File Under: NYSE
"If an LRP is triggered too frequently, trading in the security is overly restrained and does not meet the competitive needs of NYSE customers. As such the NYSE believes that doubling the current LRP value ranges will better facilitate the natural trading pattern of a particular security."
- Sep
- 18
- 2008
- 12:31 PM
Quarterly Expiration Plus S&P Rebalance Takes Place Tomorrow
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca, Options
Plus, on this day in 1873: Cooked.
- Sep
- 17
- 2008
- 9:19 AM
Another Day, Another Rule 48 on NYSE
- By: Ray Pellecchia
- File Under: NYSE
That's three days in a row; first time I remember that happening. Says something about the times we live in.
- Sep
- 16
- 2008
- 9:15 AM
NYSE Rule 48 In Effect Again Today
- By: Ray Pellecchia
- File Under: NYSE
If you're not already subscribing to our alerts and updates, you might want to consider it -- lately we've been putting out a pretty active stream of information on newsmaking stocks, trading halts, product updates, system issues, etc.
- Sep
- 15
- 2008
- 7:14 AM
NYSE Rule 48 In Effect Today
- By: Ray Pellecchia
- File Under: NYSE
As a reminder, Rule 48 says:
1) It is not mandatory to publish pre-opening indications.
2) Hold onto your hats, or grab onto some part of your person.
- Sep
- 12
- 2008
- 3:18 PM
UAL, moldy news and robots in charge
- By: Ray Pellecchia
- File Under: NYSE
Reuters reports: A Nasdaq spokeswoman said the exchange operator halted trading in UAL stock after it was contacted by the company.
- Sep
- 10
- 2008
- 1:11 PM
We, Robots: UAL Hit By Perfect Storm Where Nobody Is at the Switch
- By: Ray Pellecchia
- File Under: NYSE
So let me see if I have this all straight:
1) A piece of software mistakes old news for something new, and the mistake is passed around electronically from site to site without the benefit of any human editor anywhere in the process to say, "Hey, wait a minute..."
2) The erroneous "news" is read and traded on by, at least in part, machines without the benefit of any human trader to say, "Hey, wait a minute..."
3) Those trades are sent to the stock market that actually prides itself on having no specialist at the switch to say, "Hey, wait a minute..."
4) We humans are shocked, shocked that such a thing has occurred.
It is no accident it occurred; we have designed a world in which the only surprise is that such things don't happen more often.
And as I mentioned yesterday, we have a different model here: fast, but with people at the switch. We demonstrated that a little more than a year ago, when people here jumped in to prevent a big, erroneous order from getting very far, as discussed here at the time.
- Sep
- 09
- 2008
- 1:28 PM
Yesterday's erroneous plunge in UAL could have been prevented
- By: Ray Pellecchia
- File Under: NYSE
On NYSE, people who have assigned responsibilities to make fair and orderly markets in specific issues take action before such mistaken news gets to be much of a problem. On that other market, not so much.
- Aug
- 21
- 2008
- 9:42 AM
NYSE to Speed Up Timing for LRP Duration and Recalculation
- By: Ray Pellecchia
- File Under: NYSE
A number of you have written here that you're unhappy with how our Liquidity Replenishment Points (LRPs) work, saying that they kick in too often and can contribute to execution prices that appear out of whack. As I've noted in this space, we've been listening: here's the latest.
- Aug
- 01
- 2008
- 3:16 PM
'NYSE Says Good-Bye to Specialists, Hello, DMMs'
- By: Ray Pellecchia
- File Under: NYSE
..."Now [the Designated Market Makers] will need to put [their] liquidity up, so that when an order comes in, it will match against liquidity that is already there, which makes for a more proactive environment," says TABB's Mizen ...
- Jul
- 28
- 2008
- 10:32 AM
NYSE Floor Brokers Get New Tools to Trade Algorithmically and Locate Deep Liquidity
- By: Ray Pellecchia
- File Under: NYSE
Good things are happening for brokers on the NYSE trading floor, and their customers. “These new tools will enable brokers to seamlessly blend from their hand-held devices, the high-tech functionality of speed, automation and anonymity, with the high-touch benefits of discovery, price improvement and accessing block-sized liquidity,” says my colleague Mike Rutigliano, VP-Broker Liaison.
- Jul
- 14
- 2008
- 1:08 PM
The Nasdaq Decoder Ring, Episode 2: Much Ado About a Questionable Distinction
- By: Ray Pellecchia
- File Under: NYSE
I hadn't planned to trot out the Nasdaq Decoder Ring again so soon, but in response to a reader's question...
- Jul
- 01
- 2008
- 11:39 AM
More Transparency Ahead of the NYSE Open and Close
- By: Ray Pellecchia
- File Under: NYSE
I shoulda, woulda, coulda posted this earlier today, but better late than never. Our new NYSE Order Imbalances product went live before this morning's opening. It increases the amount of information available in advance of the two most critical points of the trading day.
- Jun
- 24
- 2008
- 8:55 AM
NYSE Realtime Stock Prices Go Live Today
- By: Ray Pellecchia
- File Under: NYSE
Google and CNBC will be the first information providers to buy last-trade data from NYSE and offer it free to the public. Real time. Free to the public. Authoritative, from NYSE. All good things. We announced a couple of weeks ago that this was coming "by July 1." Sooner is better! Been waiting a long time for this announcement, and I'm glad it's finally here.
- Jun
- 23
- 2008
- 3:43 PM
Reminder: Russell. Ready?
- By: Ray Pellecchia
- File Under: NYSE
The reconstitution takes place this Friday, 27 June. Some 164 NYSE-listed stocks will be entering or exiting the Russell indexes.
- Jun
- 19
- 2008
- 3:03 PM
BNY Convergex Doubles Its NYSE Volume
- By: Ray Pellecchia
- File Under: NYSE
According to the firm: "ConvergEx also tripled its percentage of NYSE market share during the same time frame, which has led to a significant move up the NYSE's Broker Volume Top 10 rankings. The NYSE Broker Volume Top 10 provides a way to identify the leaders in equity orderflow and lists the top 10 NYSE member firms by volume."
- Jun
- 17
- 2008
- 5:04 PM
Quarterly Expiration This Friday
- By: Ray Pellecchia
- File Under: NYSE
It's also the day for the quarterly share rebalancing of the S&P 500, the S&P MidCap 400, S&P SmallCap 600 and S&P REIT Composite Indices.
- Jun
- 16
- 2008
- 7:27 PM
Ready for Russell Reconstitution?
- By: Ray Pellecchia
- File Under: NYSE
Our memo includes the names of the 155 NYSE-listed issues that will be added or deleted from Russell Indexes; a rundown on special procedures for Limit on Close and Market on Close orders; and five contingency scenariios.
- Jun
- 13
- 2008
- 8:18 AM
Ten Things I Like About the Coming Changes at NYSE
- By: Ray Pellecchia
- File Under: NYSE
Here are some of the changes that I think are going to be real positives.
- Jun
- 13
- 2008
- 5:35 AM
WSJ: 'NYSE Plans to Revise Specialist-Trader Rules'
- By: Ray Pellecchia
- File Under: NYSE
"This positions the specialist to actually add value in the market again."
- Jun
- 12
- 2008
- 9:23 AM
New York Stock Exchange Proposes to Offer NYSE Realtime Reference Prices
- By: Ray Pellecchia
- File Under: NYSE
The product will allow media and Internet organizations to buy real-time, last-sale market data from the NYSE and provide it broadly and free of charge to the public.
- Jun
- 10
- 2008
- 10:34 AM
Faster and greater information about NYSE openings, closings, imbalances
- By: Ray Pellecchia
- File Under: NYSE
A Q&A with Mark Schaedel, one of my MDDCs (market-data-disseminating colleagues), about two new products: NYSE OpenBook Ultra and NYSE Order Imbalances.
- Jun
- 05
- 2008
- 9:12 AM
'SEC Lays Ground for Real-Time Web Stock Quotes'
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
The SEC's action is is not a final approval, but it is a big step forward. It's been a long process, but it's leading to the right result for investors.
- Jun
- 02
- 2008
- 1:27 PM
Duncan: NYSE Trading Floor is a Differentiating 'Lever' in Volatile Markets
- By: Ray Pellecchia
- File Under: NYSE
NYSE Euronext CEO Duncan Niederauer at the Reuters Summit last month: "In periods like expirations, in periods of higher volatility like we saw last August and this past January, I think [the NYSE trading floor] is quite a differentiator because everyone else doesn't have a lever they can pull. So when you get into volatile periods like that, people want to use the floor or they want to get human judgment involved or they want to use the experts."
- May
- 30
- 2008
- 4:19 PM
New Data Products to Enhance Transparency, Speed of NYSE
- By: Ray Pellecchia
- File Under: NYSE
Good stuff coming on the data front in the form of two new products.
- May
- 19
- 2008
- 2:57 PM
Another Reason to Use an NYSE Floor Broker: Don't Miss the Closing Price
- By: Ray Pellecchia
- File Under: NYSE
In a big stock with a big swing in its order imbalance at the close, floor traders prove their worth.
- May
- 12
- 2008
- 12:27 PM
'Execs defend humans in high-tech markets'
- By: Ray Pellecchia
- File Under: NYSE
Or is it actually that the humans are defending themselves?
- May
- 09
- 2008
- 3:12 PM
Upcoming NYSE rule changes: '...working aggressively on a number of paths...'
- By: Ray Pellecchia
- File Under: NYSE
Larry Leibowitz on this week's earnings call: "We're talking to the SEC about changing the rules to make the market simpler, more conducive to electronic trading, but also allowing a role for a market maker with obligations, more of a liquidity provider as we evolve the specialist role...And then to continue to evolve the floor traders, have more functionality that makes more sense in an electronic world. So you will see in July, for example, rolling out algorithms in the handhelds, so that floor traders will be able to work algos from the floor, but also when large block trades happen, to be there to represent the customer. That will allow our upstairs traders to not feel that they are shut out when they give a trade to the floor, that they are also foregoing the benefits of the algo trading."
- May
- 05
- 2008
- 5:23 PM
Pilot for Electronic Reserve Orders to Extend Friday to All NYSE Issues
- By: Ray Pellecchia
- File Under: NYSE
The pilot for electronic entry of Reserve Orders, which began on 23 April, will extend to all NYSE-listed securities beginning this Friday, 9 May.
- Apr
- 23
- 2008
- 9:33 AM
Reminder: Today is Day 1 for NYSE Pilot for Electronic Reserve Orders.
- By: Ray Pellecchia
- File Under: NYSE
Plus: everyone in the business knows what a CUSIP number is, but do you know what the letters CUSIP stand for?
- Apr
- 22
- 2008
- 9:15 PM
LaBranche on Upcoming Changes in Market Structure and Regulation
- By: Ray Pellecchia
- File Under: NYSE
["There] are current proposals in Washington to really get the traditional cash specialist business more in line with the current market structure."
- Apr
- 22
- 2008
- 8:47 PM
NYSE Arca Announces New Pricing for NYSE-Listed Issues
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
Mid-Point Passive Liquidity orders offer price improvement, better fill rates and now, attractive rebates for active customers.
- Apr
- 21
- 2008
- 9:42 AM
Pilot for Electronic Reserve Orders Starts Wednesday at NYSE
- By: Ray Pellecchia
- File Under: NYSE
I'd be curious to hear any user experiences with the new order type. The comment box is open to you, as always.
- Apr
- 14
- 2008
- 10:06 AM
Delayed-Opening Industry Test to be Held on 7 June, 2008
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
Plus, to lift the heart a bit on a Monday morning: the sun lifts the rain in veils of mist, and a photographer in my town captures it.
- Apr
- 11
- 2008
- 8:45 AM
CAP Orders to be Replaced with Better Capabilities for Floor Brokers
- By: Ray Pellecchia
- File Under: NYSE
We're obviously continuing to work to put more value-added in the hands (and the hand-helds!) of floor brokers.
- Apr
- 11
- 2008
- 6:19 AM
Some Helpful (I Hope!) Conversation About Reserve Orders
- By: Ray Pellecchia
- File Under: NYSE
Plus, a word of appreciation for Exchanges readers: thank you for not threatening to punch me in the face.
- Apr
- 10
- 2008
- 7:56 AM
'We just don't think all electronic all the time is the right answer.'
- By: Ray Pellecchia
- File Under: NYSE
That's my boss talking to Nightly Business Report's Susie Gharib about NYSE.
- Apr
- 09
- 2008
- 5:27 PM
Buyside decries fragmentation...
- By: Ray Pellecchia
- File Under: MatchPoint, NYSE, NYSE Arca
...and says better connectivity between dark pools and exchanges is the best solution. Which is exactly what we're trying to do.
- Apr
- 09
- 2008
- 12:11 PM
Market color, insight, judgment and experience, a phone call away
- By: Ray Pellecchia
- File Under: NYSE
During a sample week, there were 2,518 outgoing calls and 960 incoming calls to portable phones on our trading floor, not to mention calls to and from the brokers' booths. I am of course not privy to these phone conversations, but I know that nobody on an upstairs desk is calling down to our trading floor -- or taking calls from the floor -- to talk about the weather.
- Apr
- 04
- 2008
- 12:12 PM
NYX Business Summary for March
- By: Ray Pellecchia
- File Under: Liffe derivatives, NYSE, NYSE Arca
Transaction growth across the board and across the Atlantic. Plus: numerical trivia, weekend edition.
- Apr
- 01
- 2008
- 2:56 PM
An Uptick in Arguments About the 'Uptick Rule'
- By: Ray Pellecchia
- File Under: NYSE
"After years of academic research suggested that the rule was hindering trading without protecting prices, regulators eliminated the rule last summer, giving a green light to those eager to sell a stock short, even as it was falling.
"Some argue that the move unleashed a new era of volatility..."
- Apr
- 01
- 2008
- 2:14 PM
New NYSE Circuit-Breaker Levels
- By: Ray Pellecchia
- File Under: NYSE
Plus, in the historical-trivia department: the go-go years top the Great Crash.
- Mar
- 28
- 2008
- 1:01 PM
'NYSE Plans to Introduce Reserve Orders for Electronic Entry'
- By: Ray Pellecchia
- File Under: NYSE
“This is about providing our customers with greater choice and flexibility in how they access our market,” Larry says.
Choice and flexibility are getting to be the major themes here, as well they should.
- Mar
- 24
- 2008
- 8:49 AM
Rosenblatt Hires Charlop
- By: Ray Pellecchia
- File Under: NYSE
Neither is a household name outside the Exchange community (at least not yet; apologies, Dick and Gordon!) but nonetheless, this is interesting news.
- Mar
- 20
- 2008
- 10:53 AM
Record NY volume at the open -- why?
- By: Ray Pellecchia
- File Under: NYSE
In crunch time, you can get it done here, and you can get it done at the right price.
- Mar
- 20
- 2008
- 6:26 AM
Good Morning, It's Quarterly Expiration Day!
- By: Ray Pellecchia
- File Under: NYSE
Plus: you can get married in Gibraltar near Spain. Plus plus: happy birthday to the father of efficiency (and humanity) in management.
- Mar
- 19
- 2008
- 8:28 AM
'NYSE Gives Floor a Credit to Provide Liquidity'
- By: Ray Pellecchia
- File Under: NYSE
Not a panacea, but a step in the right direction.
- Mar
- 18
- 2008
- 6:18 PM
Line of the day
- By: Ray Pellecchia
- File Under: NYSE
The number of dark pools is exceeded only by... Read on for the rest of Mr. Selway's comment.
- Mar
- 18
- 2008
- 3:37 PM
Fed ramps up our message volume
- By: Ray Pellecchia
- File Under: NYSE
I've mentioned here previously, the capacity to accommodate these spikes in message traffic requires a lot of planning and investment on our part. It's largely unseen part of the exchange business, and I'm glad (and relieved!) when it bears fruit as it did today.
- Mar
- 18
- 2008
- 11:48 AM
'There are now more than 55 equity venues in the U.S.'
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
So says Tabb Group CEO and founder Larry Tabb, quoted in a brief Securities Industry News article with the wonderfully succinct headline, "Equity Venues > 55."
So much for the NYSE-Nasdaq duopoly you read so much about a couple of years ago. Competition appears to be more alive and well than ever in the equity markets.
- Mar
- 18
- 2008
- 9:17 AM
Rule 48 in effect again today
- By: Ray Pellecchia
- File Under: NYSE
With the futures up significantly this morning, NYSE is invoking Rule 48 today, as we did yesterday.
- Mar
- 17
- 2008
- 2:37 PM
'Reg NMS Is a Winner, SEC Says'
- By: Ray Pellecchia
- File Under: NYSE
As the article goes on to point out, some traders have a very different point of view. Someone, please explain to me the reason why there's such a disconnect.
- Mar
- 17
- 2008
- 9:00 AM
Rule 48 in effect today
- By: Ray Pellecchia
- File Under: NYSE
The rule provides the exchange with the ability to suspend the requirement to disseminate price indications and obtain floor-official approval prior to the opening when extremely high market-wide volatility could delay opening securities on the exchange.
- Mar
- 03
- 2008
- 10:30 AM
Reminder: new incentive for floor brokers to add liquidity starts today
- By: Ray Pellecchia
- File Under: NYSE
Just came from a meeting where some NYSE managers were saying that not all the floor brokers were aware of the pricing change we announced on Friday, which I blogged about here.
What? People aren't reading my stuff? Heresy! I mean, WTH? (That's what the heck -- after all, this is a family blog.)
My feelings are so hurt.
OK, I'm over it. Maybe this is what happens when you announce something on a Friday: it gets lost amid the weekend anticipation. Or maybe I haven't been posting frequently enough, and people are falling out of the habit. Anyway, this post is a reminder.
- Feb
- 29
- 2008
- 2:51 PM
NYSE to offer incentive for floor brokers to add liquidity
- By: Ray Pellecchia
- File Under: NYSE
Floor brokers currently cannot post orders on other markets while at the point of sale at NYSE, so unlike other Exchange users, they can't capture incentives that other markets offer to liquidity providers. NYSE believes this disparity places floor brokers at a competitive disadvantage to other Exchange customers and believes the proposed credit will mitigate the effects of that disadvantage while also attracting additional liquidity to NYSE.
- Feb
- 07
- 2008
- 3:30 PM
Upcoming changes in the NYSE market model: here's the latest
- By: Ray Pellecchia
- File Under: NYSE
Duncan in this week's earnings call, on our discussions with the SEC: "I think we're down to where we really just have two or three rules left..."
- Jan
- 31
- 2008
- 4:05 PM
Another busy close
- By: Ray Pellecchia
- File Under: NYSE
Twenty-three message traffic records were set in the last seven minutes of the trading day today.
- Jan
- 30
- 2008
- 4:16 PM
Update: The close was even busier
- By: Ray Pellecchia
- File Under: NYSE
I posted too soon. Just got a bunch more messages -- even more traffic records across more systems at today's close.
- Jan
- 30
- 2008
- 3:58 PM
Fed speaks, markets move, messages multiply
- By: Ray Pellecchia
- File Under: NYSE
Half a dozen traffic records in a half-hour's time. That's why we spent more than $25 million on expanding the capacity of our systems last year. Someone thought that would be a much better use of the money as opposed to doing something like, oh, say, just for the sake of throwing something else out there...like dropping it into my bonus. Can you imagine? Me neither. Oh well. There's always next year.
- Jan
- 25
- 2008
- 4:20 PM
'Still Kicking'
- By: Ray Pellecchia
- File Under: NYSE
Michael LaBranche: "We’re moving towards an integrated market making model. I think a lot of the barriers that exist in the business are, for example the way rule 98, which is the Chinese wall rule, exists today, is not actually in keeping with the times and I think there is some anticipation that there will be more interaction across different products and venues. I think that’s part of the thing that’s driving it. ... There’s other things that are in the works too."
- Jan
- 24
- 2008
- 6:05 AM
Update: NYSE Arca joins the Bugs Bunny spinning speedometer
- By: Ray Pellecchia
- File Under: NYSE, NYSE Arca
An update: NYSE Arca traded 2.8 billion shares yesterday, a new record. ArcaBook recorded an all-time high 670 million updates. Arca processed 47.4 million orders, believed to also be a record.
- Jan
- 23
- 2008
- 5:50 PM
Spinning like a speedometer in a Bugs Bunny cartoon
- By: Ray Pellecchia
- File Under: NYSE
For an old-timer like me, I never thought I'd see numbers like these. And for those outside of these four walls, like I said, this is all remarkable mostly for what *didn't* happen. Our goal is to be there when you need us, to get you those reports and cancels fast enough that you can do something else, put up those quotes quick enough that you can get those best prices, here or (perish the thought!) away.
- Jan
- 23
- 2008
- 9:21 AM
Rule 48 in effect again today
- By: Ray Pellecchia
- File Under: NYSE
That means that mandatory opening indications are not required.
Hey, if you subscribe to our System Status Notifications via RSS, you don't have to wait 'til I get around to telling you this stuff. In fact, yesterday I missed it altogether, because I was away from my desk at the time. So RSS is the way to go.
- Jan
- 17
- 2008
- 6:02 AM
Coming soon: single shares of BRK.A
- By: Ray Pellecchia
- File Under: NYSE
This will enable all orders to be exposed to the published quote. If you want to forward me the $127 grand, I'll be happy to test out the single-share system and report back the results.
From Tahiti.
- Jan
- 10
- 2008
- 4:16 PM
Staffing up to advance the floor
- By: Ray Pellecchia
- File Under: NYSE
To me, this underscores that specialists and floor brokers continue to be important parts of the NYSE market. We're investing in the trading floor, not walking away from it. Todd and Mike know the issues, and I'm confident they will help us -- and customers -- realize the full value of our trading model. Welcome to the team, guys.
- Jan
- 07
- 2008
- 8:43 AM
Man vs. machine, chapter umpteen
- By: Ray Pellecchia
- File Under: NYSE
"When price is an inverse function of liquidity and liquidity is an inverse function of price certainty, the recursive loop can only be broken by human intervention and action."
- Jan
- 04
- 2008
- 1:40 PM
Faster ACKs, U R Outs, and execution reports
- By: Ray Pellecchia
- File Under: NYSE
Testing for these system changes will be held tomorrow and a week from tomorrow.
And I learned today that an ACK has nothing to do with when you hit the wrong key and buy a million shares instead of a million dollars worth, and you say, "ACK, the head of the desk is gonna kill me!"
- Jan
- 04
- 2008
- 9:54 AM
Open source, where you least expect it
- By: Ray Pellecchia
- File Under: NYSE
"We favor Linux for what we do. We don't want to be beholden to any one [hardware or software] supplier, even if it is very good. We want the freedom to be vendor-independent, so Linux was a good choice," said Rubinow.
- Jan
- 04
- 2008
- 8:06 AM
Pisani prediction: more floor
- By: Ray Pellecchia
- File Under: NYSE
Pisani: "Contrary to all expectations, the NYSE floor will not disappear; new investment from Lehman and one or two other firms that will buy into the renamed specialist business will stabilize the trading floor...New SEC rule changes will inject life into the specialist system at the NYSE. The long-desired changes will help the long-term viability of the specialist system, and will once again help the specialist companies regain profitability."
- Jan
- 02
- 2008
- 6:37 AM
Happy new circuit breakers...oops, I mean, happy new year!
- By: Ray Pellecchia
- File Under: NYSE
The start of every new quarter and every new year brings renewed hope to the financial world and...wait for it...new levels for the ol' NYSE circuit breakers. Woo-hoo!
OK, gang, work with me here. I'm trying.
Happy 2008 to all Exchanges readers out there. Recover from that eggnog hangover yet?
Me neither.
- Dec
- 24
- 2007
- 6:15 AM
Ho-ho-ho, merry...pre-opening indications!
- By: Ray Pellecchia
- File Under: NYSE
I don't know how many of you will look at this as an early Christmas present, but it's landing in your stocking this morning nonetheless -- pre-opening indications start today. Ah, the gift of transparency. Beats new socks!
- Dec
- 21
- 2007
- 11:37 AM
Record volume at today's open
- By: Ray Pellecchia
- File Under: NYSE
Today's first hour produced NYSE volume of 903 million shares, compared with the previous record of 805 million shares.
- Dec
- 20
- 2007
- 12:29 PM
Duncan on CNBC today @ 4:15 p.m.
- By: Ray Pellecchia
- File Under: Liffe derivatives, NYSE
I have no idea what he'll be asked, but recently in these sessions he has talked about what's ahead not only for the New York trading floor but for the whole NYSE Euronext enterprise.
- Dec
- 04
- 2007
- 6:20 AM
It's official: Lehman to form new market-making firm on NYSE floor
- By: Ray Pellecchia
- File Under: NYSE
"As we continue to successfully introduce new technology and an updated rule set for specialists with approval of the SEC, we expect the specialist role and their market making capabilities to further evolve."
- Dec
- 03
- 2007
- 10:40 AM
'Designated market makers' and other changes coming to the NYSE market
- By: Ray Pellecchia
- File Under: NYSE
"While many of the changes require Securities and Exchange Commission approval, Mr. Niederauer said he hopes they can be completed by early 2008."
- Nov
- 27
- 2007
- 8:49 AM
Men At Work (at re-making the markets)
- By: Ray Pellecchia
- File Under: NYSE
"To regain lost ground, Niederauer and Leibowitz are taking steps to make the NYSE, NYSE Arca, and the organization itself more competitive."
- Nov
- 27
- 2007
- 7:56 AM
Bloomberg: 'NYSE Will Reduce Fees That Floor Brokers Pay to Verify Trades'
- By: Ray Pellecchia
- File Under: NYSE
"The reduction is the second fee cut announced in as many months for NYSE Euronext, which owns the Big Board."
- Nov
- 26
- 2007
- 7:19 PM
Reuters: 'NYSE says to cut some trade-date comparison fees'
- By: Ray Pellecchia
- File Under: NYSE
Reuters says we're out to price our services competitively; I say *most* competitively, but whatever, I'll take it! To me, the important thing is that we're increasingly customer focused.
- Nov
- 26
- 2007
- 2:00 PM
NYSE cutting comparison fees
- By: Ray Pellecchia
- File Under: NYSE
The timing is nice, but this is no holiday present; rather, I see it as one of a number of steps we're taking to make sure our services are priced most competitively.
- Nov
- 26
- 2007
- 7:58 AM
Trading costs for NYSE-listed stocks again lowest in world
- By: Ray Pellecchia
- File Under: NYSE
For the second year in a row, Elkins/McSherry finds that trading NYSE-listed issues costs less than trading those of any other market in the world.
- Nov
- 21
- 2007
- 2:57 PM
Duncan: 'I thought the trading model needed to change, and it has.'
- By: Ray Pellecchia
- File Under: NYSE
And it looks like it will continue to change, both in the U.S. and in Europe. More after the jump.
- Nov
- 14
- 2007
- 2:01 PM
NYSE to reallocate certain specialist rights to Kellogg Specialist Group
- By: Ray Pellecchia
- File Under: NYSE
"We see this as the first phase of a larger, more extensive transition process where we expect to add new liquidity providers to our Specialist community, further enhancing market quality on the NYSE."
-- Duncan Niederauer (quote excerpted)
- Nov
- 14
- 2007
- 12:41 PM
'NYSE Moves to Prevent Abuses in Odd-Lot Trades'
- By: Ray Pellecchia
- File Under: NYSE
Plus: What's free to the public in China but not in the United States?
- Nov
- 02
- 2007
- 6:25 AM
BIDS and Big Board brokers
- By: Ray Pellecchia
- File Under: MatchPoint, NYSE
...and further discussion of our strategy to provide customers with more choices to access liquidity. It's not a question of zero-sum, either-or. Instead it's: choose any or all of the above.
- Nov
- 01
- 2007
- 6:08 PM
Program-trading collar gone tomorrow
- By: Ray Pellecchia
- File Under: NYSE
I'm glad that's happening tomorrow and not today. Had it been today, I'm sure that at least one pundit would have blamed the removal of the restrictions for at least part of today's 362.14-point fall in the Dow Jones Industrial Average.
Is that cynical? Perhaps, but you just know that would have happened.
- Nov
- 01
- 2007
- 5:53 AM
Stabilization pilot changed (for the better!), effective today
- By: Ray Pellecchia
- File Under: NYSE
Previously, the specalists' stabilizing "Conditional Transactions" were restricted to only "active" securities. Now, that limitation is eliminated.
- Oct
- 31
- 2007
- 6:16 PM
Three words: NYSE. Open. Free!
- By: Ray Pellecchia
- File Under: NYSE
No Halloween trick, either. Instead, starting tomorrow, the open is our treat.
- Oct
- 30
- 2007
- 6:25 AM
NYSE Euronext, BIDS plan joint venture to enhance liquidity and execution quality for block trades
- By: Ray Pellecchia
- File Under: MatchPoint, NYSE
"...bringing block-size orders back into contact with active traders, algorithms and retail flow."
- Oct
- 29
- 2007
- 12:00 PM
Special testing for end of Daylight Savings; easier comp for system failures; collars being eliminated
- By: Ray Pellecchia
- File Under: NYSE
Let me tell you a couple-three things, as they used to say on "The Sopranos." The first is new; the others, I'm playing catch-up on.
- Oct
- 23
- 2007
- 1:00 PM
Readers discuss automating NYSE openings
- By: Ray Pellecchia
- File Under: NYSE
I wish I had an API to do the grunt part of posting links to the blog, which involves rather tedious cutting and pasting, and inserting bits of code. That would save me a few minutes I could put toward researching or writing something useful.
Or taking a quick nap.
- Oct
- 19
- 2007
- 10:58 AM
It was 20 years ago today
- By: Ray Pellecchia
- File Under: NYSE
John J. Phelan, Jr.: "I went down to the SEC and said the whole business of portfolio insurance and index arbitrage is a recipe for disaster. Some firms got grumpy as they were making money out of it. I commissioned a study in July 1987 and promised my board I would stop talking about it [portfolio insurance] as people who were using it and making a lot of money out of it did not like me talking about it."
- Oct
- 18
- 2007
- 4:50 PM
The Crash of 1987 and today
- By: Ray Pellecchia
- File Under: Liffe derivatives, NYSE, NYSE Arca, Options
Morituri te salutamus.
Leave it to Art Cashin -- a classic himself -- to come up with a classic reference in a historical language. Not up on your Latin? Translation and some Crash of 1987 reflections after the jump.
- Oct
- 17
- 2007
- 6:18 AM
Q&A: Where is the volume going?
- By: Ray Pellecchia
- File Under: NYSE
Plus: a hypothetical Week When NYSE Rolled Back Hybrid.
- Oct
- 16
- 2007
- 8:07 AM
'After Crash, NYSE Got the Message(s)'
- By: Ray Pellecchia
- File Under: NYSE
From a capacity of 95 messages per second to 64,000. And I hardly think we're going to stop there.
- Oct
- 05
- 2007
- 3:20 PM
'NYSE Seeks Faster Trading by Opening Some Stocks Automatically'
- By: Ray Pellecchia
- File Under: NYSE
This makes sense. Let the machines do the machine work and let the specialists tackle the tougher ones. Get the customers a faster opening overall.
- Oct
- 03
- 2007
- 7:44 PM
New reserve display requirements take effect tomorrow, 4 October
- By: Ray Pellecchia
- File Under: NYSE
The desired end result is that customers will be able to access a deeper pool of liquidity and thus get better trade executions.
- Oct
- 03
- 2007
- 12:16 PM
What are the NYSE fees for opening-only and Market on Close orders?
- By: Ray Pellecchia
- File Under: NYSE
A reader asks for clarification on whether such orders are seen as providing or taking liquidity. The answer is that we charge them a blended rate.
- Sep
- 28
- 2007
- 8:56 AM
'[N]o substitute for...market color and insight that human traders can provide'
- By: Ray Pellecchia
- File Under: NYSE
Wow. The human touch still matters, says Alpha, this new magazine from the folks at Institutional Investor. A balance between "human interaction and electronic savvy" works well.
Who knew?
Plus: Our first public board members. Plus, plus: Ed Sullivan, Ben E. King, John Lennon, Richard Nixon and your humble blogger's wedding song.
- Sep
- 24
- 2007
- 9:22 AM
Making the floor more integral, not less
- By: Ray Pellecchia
- File Under: NYSE
A downsized trading floor; don't write the obit for human traders just yet; and record trading volume at last Friday's opening. From the archives: the New Jersey Stock Exchange (hold the Jersey jokes, I was born there) and the Panic of 1869.
- Sep
- 21
- 2007
- 8:25 AM
Expirations, rebalancings and other links for 21 September, 2007
- By: Ray Pellecchia
- File Under: NYSE
A reminder on today's expirations and rebalancings; short interest and margin debt both fell last month; a look at the evolution of the Chicago Merc; and whatever happened to the wall on Wall Street?
- Sep
- 20
- 2007
- 9:43 AM
Trading on NYSE and NYSE Arca costs less than on Nasdaq
- By: Ray Pellecchia
- File Under: NYSE
Check out this comparison. I've never been very good with numbers, but you don't have to be to see that.
- Sep
- 19
- 2007
- 7:51 AM
This Friday: quarterly expirations plus S&P index rebalancing
- By: Ray Pellecchia
- File Under: NYSE
This is perhaps the only business where we constantly talk of expirations and executions but nobody dies as a result.
- Sep
- 17
- 2007
- 3:47 PM
More on fee changes; Fed conference call; Hybrid Market changes and more
- By: Ray Pellecchia
- File Under: NYSE
Transaction fees explained; Fed-day systems status discussed; Sell Short Exempt Orders being eliminated; odd-lot pricing changed; 9/17/01 remembered; bones healed; souls saved.
Sorry, got a bit carried away at the end there.
- Sep
- 11
- 2007
- 3:08 PM
NYSE Euronext Announces Price Changes in U.S. Cash Equities
- By: Margarida Correia
- File Under: NYSE
New pricing plan gives customers flexibility in accessing low transaction costs and superior liquidity when trading NYSE and Nasdaq-listed securities.
- Sep
- 07
- 2007
- 9:43 AM
Another month, another volume record
- By: Ray Pellecchia
- File Under: ETFs / Indexes, Liffe derivatives, NYSE, Options
I'm sure you're shocked -- shocked! -- to see that trading volume on NYSE Euronext markets climbed to record levels again in August. Here's our news release on the subject. If you *are* surprised, you really oughtta call in more when you're on vacation.
Plus: bonus quiz -- who said the following?
"Nobody ever lost money taking a profit."
"If all you have is a hammer, everything looks like a nail."
"Never follow the crowd."
Read on for the answer.
- Sep
- 04
- 2007
- 8:09 AM
Back in the New York groove (well, not quite!); links for 4 Sept. 2007
- By: Ray Pellecchia
- File Under: ETFs / Indexes, Liffe derivatives, NYSE
Incentive-based pay for specialists; Liffe's new Guardian; commissions drop; more frequent short-interest reporting; hubris on Wall Street (on Wall Street? I'm shocked -- shocked!); skyrocketing data-message traffic; new ETFs; and on the historical-trivia front: first in film; welcome, Phone; and Abbie Hoffman pays us a visit.
- Aug
- 28
- 2007
- 3:00 PM
New incentives for specialists to quote at best price, provide price and size improvement, match better away prices
- By: Ray Pellecchia
- File Under: NYSE
These are exactly the kinds of things many of you have been calling for in your comments to the Exchanges blog. Thanks again for sharing your opinions and trading experiences. We're listening.
- Aug
- 22
- 2007
- 9:36 AM
See you in September
- By: Ray Pellecchia
- File Under: NYSE
Or will I lose yoooouuuuu,
to another blog?
But before I start crooning, which if I this were a podcast would really send you crashing your keyboard through your monitor, here are a few links for today.
- Aug
- 21
- 2007
- 8:52 AM
NMS, one month later; Duncan in 'top 40'; big interest in short interest
- By: Ray Pellecchia
- File Under: NYSE
Plus: Curtiss-Wright took flight on NYSE on this date in 1929.
- Aug
- 20
- 2007
- 10:05 AM
Friendly weekend conversation
- By: Ray Pellecchia
- File Under: NYSE
Specialists remain a lightning rod for conversation, as I found out when I posted an item last week.
- Aug
- 17
- 2007
- 4:45 PM
More trading; more Duncan
- By: Ray Pellecchia
- File Under: Liffe derivatives, NYSE, Options
More, more, more. Just call me the Andrea True Connection.
On second thought, forget I said that. Thanks.
"The European exchanges run by transatlantic bourse operator NYSE Euronext had their busiest day ever on Friday, as markets first fell then, in the wake of a U.S. Federal Reserve discount rate cut, sharply recovered."
- Aug
- 17
- 2007
- 8:06 AM
Quant funds are 'less reliable as market makers' -- WSJ
- By: Ray Pellecchia
- File Under: Miscellaneous, NYSE
Neither hedge funds nor anybody else should be expected to act like specialists. No one else has the same obligation that specialists have -- to apply their capital to counter rapid market swings and dampen volatility. That's why it's critical for us to have a rule set that encourages specialists to participate in this way, when appropriate.
- Aug
- 15
- 2007
- 6:18 AM
More theorizing about volatility
- By: Ray Pellecchia
- File Under: Miscellaneous, NYSE
The conversation continues on what's causing the recent volatility in the market. Plus: farewell to the Scooter.
- Aug
- 14
- 2007
- 6:27 AM
Aphrodesiac for volatility; ETFs vs. NMS
- By: Ray Pellecchia
- File Under: ETFs / Indexes, NYSE
Rule change ticks off some traders; ETF providers take issue with Reg. NMS; and spelling counts.
- Aug
- 10
- 2007
- 5:57 PM
If you're reading this, you survived the week
- By: Ray Pellecchia
- File Under: NYSE
NYSE Group traded more shares than any other U.S. cash equities market, registering a new top-10 volume day each day of the week, including a new all-time record of 5.37 billion shares traded on Aug. 9 and a record average daily volume of 4.7 billion shares traded daily during the week.
- Aug
- 10
- 2007
- 9:19 AM
Whole lotta tradin' going on
- By: Ray Pellecchia
- File Under: NYSE
Have we ever had a full week of top-10 days? Will have to check into that.
- Aug
- 09
- 2007
- 12:21 PM
Traders sound off; va-va-volume; Earth's biggest floor; Greater China
- By: Ray Pellecchia
- File Under: Bonds, Liffe derivatives, NYSE, Options
Links for 9 August, 2007. Among them: results of the Traders Magazine survey about the NYSE Hybrid Market; NYSE Euronext trading volume grows across the markets; NYSE Bonds enlists market makers; NYSE lists 40 Chinese companies valued at $1 trillion total; and the world's most famous market may be at 11 Wall St., but it's not the world's biggest. Plus: happy birthday, John Dryden.
- Aug
- 06
- 2007
- 11:39 AM
Duncan: We'll tie compensation to quoting and providing liquidity
- By: Ray Pellecchia
- File Under: NYSE
"What I would imagine is you will expect to see us, on or about September 1, begin to distribute a similarly sized pool, all other things being equal, but it will be much more tied to quoting performance and liquidity provision performance, which I think are much more closely tied to market quality."
- Aug
- 03
- 2007
- 9:46 AM
Optimistic on Hybrid; other links
- By: Ray Pellecchia
- File Under: Bonds, NYSE
Links for 3 August, plus: What breathes the species.
- Aug
- 02
- 2007
- 6:03 AM
Wanted: market haiku
- By: Ray Pellecchia
- File Under: NYSE
Forgive me for repeating the memo's use of all caps, but once again I'm trying to get folks here to notice that IN THE AGE OF THE WEB, WRITING IN ALL CAPS = SHOUTING. They haven't gotten the memo. I also want to suggest that they consider summarizing complex information in haiku. At no charge, I've taken the liberty of drafting one for that could intro this particular memo:
We're flexible, but
build your supervision to
address these issues
No, really, no charge. But if you want to name me Honorary Chief Regulatory Haiku Officer, that's cool, I'll try to manage the conflicts of interest with my business agenda.
- Aug
- 01
- 2007
- 8:30 AM
System status via RSS; new GS Connect ETN; anatomy of a halt; trading views
- By: Ray Pellecchia
- File Under: ETFs / Indexes, NYSE
Every major trading firm on the Street has a trading floor that probably dwarfs or at least rivals the NYSE's in size. It's filled with people talking with customers, looking at screens, talking to other traders, using their judgment, taking risk, sending and executing orders -- in other words, trading. In particular, they work on the bigger, more difficult trades, the ones that are tough to do with machines alone. The people on the NYSE trading floor do the same things, except standing up instead of sitting down.
My point is that all those people in all those trading floors on the Street are adding value to customers, or they wouldn't be there. Ours are doing the same. And with their perseverance and the changes that are underway here, they'll continue to do so.
- Jul
- 31
- 2007
- 9:51 AM