Eurex Vols
- Thread starter doublechin
- Start date
I fear it's a result of exchanges condoning the imo disgraceful behaviour that's been commonplace the last 6-7 years.
By allowing these giant alleged mm's to pretty much do as they please despite numerous wanings from locals they are in a position now where if a big fund or broker goes down the market is severely impacted.
Makes a good case for having lots and lots of smaller players indirectly market making,picking up the slack as and when needs be as opposed to 2 or 3 giants.
Say for instance that RSJ suddenly went out of business,what would happen then.
( I use RSJ as an example here as I read somewhere that do a huge amount of volume at liffe,something ridiculous like 40%)
By allowing these giant alleged mm's to pretty much do as they please despite numerous wanings from locals they are in a position now where if a big fund or broker goes down the market is severely impacted.
Makes a good case for having lots and lots of smaller players indirectly market making,picking up the slack as and when needs be as opposed to 2 or 3 giants.
Say for instance that RSJ suddenly went out of business,what would happen then.
( I use RSJ as an example here as I read somewhere that do a huge amount of volume at liffe,something ridiculous like 40%)
<img src="http://www.rsj.com/images/lots.png">
http://www.rsj.com/en/algorithmic-trading/current-volumes/
Eurex drinks in Dubai and Gibraltar tomorrow, time to get some value at the bar
http://www.rsj.com/en/algorithmic-trading/current-volumes/
Eurex drinks in Dubai and Gibraltar tomorrow, time to get some value at the bar
This morning bunds trade an impressive 88 tick range on a very unimpressive 90,000 lots.
Going forward this will get worse leading into year end.
In the past when volatility was high volumes tended to be too.Personally mine and almost everyone I know volumes would jump,i guess to meet demand from paper needing to cover trades.The algo method seems to be to run away at the first sign they may get legged up,then return when it quietens down to show huge size that no-one needs to do.
Did the Eurex reps have anything to say regarding the drop in volumes?
Going forward this will get worse leading into year end.
In the past when volatility was high volumes tended to be too.Personally mine and almost everyone I know volumes would jump,i guess to meet demand from paper needing to cover trades.The algo method seems to be to run away at the first sign they may get legged up,then return when it quietens down to show huge size that no-one needs to do.
Did the Eurex reps have anything to say regarding the drop in volumes?
No they had no answers, happy to rave about the record volume days in their kospeii product though. As for tobin tax they said they had heard no strategy planning for it at their level if it is implemented and basically said they just hoped it wouldn't happen because if it does it's game over. The cash bond guy said it would blow the bid ask out but continue in some form. The SGX lot said would be complex getting the licenses to move it and work out the settlement. Knowing how slow the asian exchanges are to do anything it's probably a non starter. I guess it would go to cme.