Quote from Everest:
No, apparently the paper is generally just doing otc and a little on eurex. There is no way of tracking the volume of the cash if it is otc. the only time they use eurex in size is when the market is really motoring, as it would take too long to go otc. also, a large percentage used to be on the basis, but i gather this is slowing also.
All in all it just means that individuals in size can just move the market around without banging heads with the paper too often. and if the size trader is trading as much as 20 percent of the market, maybe even more, than he can control the market to a reasonable degree becasue he of all people can see when the paper is coming in. A long time before us.
Of course this is just my opinion, and I'm sure many will disagree, but for me the hard fact of the matter is it's a damn site easier to make big ticks in the euro than the bund.
cheers
