Conventional Wisdom and the Impact of Market Volatility
... Cargill's grain- merchandising unit, AgHorizons, recently stopped offering grain contracts to farmers in some areas unless they could deliver grain to the elevator within 60 days, eliminating an important tool for farmers to hedge their risks against grain prices plummeting... Rival Archer-Daniels- ...
... Cargill's grain- merchandising unit, AgHorizons, recently stopped offering grain contracts to farmers in some areas unless they could deliver grain to the elevator within 60 days, eliminating an important tool for farmers to hedge their risks against grain prices plummeting... Rival Archer-Daniels- ...
Information Disclosure and Market Quality
... Mandated that all publicly traded companies must disclose material information to all investors at the same time. The regulation sought to stamp out selective disclosure. Regulation FD changed fundamentally how companies communicate with investors, by bringing better transparency and more freque ...
... Mandated that all publicly traded companies must disclose material information to all investors at the same time. The regulation sought to stamp out selective disclosure. Regulation FD changed fundamentally how companies communicate with investors, by bringing better transparency and more freque ...
The COT reports consist of three different reports
... The share of open interest by trader classification is shown in the table below. The July 22, 2014 report as well as the high, low and five-year average is shown. Currently the non-commercial long positions are higher than average, suggesting investors believe prices will move higher. Due to the la ...
... The share of open interest by trader classification is shown in the table below. The July 22, 2014 report as well as the high, low and five-year average is shown. Currently the non-commercial long positions are higher than average, suggesting investors believe prices will move higher. Due to the la ...
What Types of Financial Market Structures Exist
... Auction markets depend on participation for any one type of asset not being too "thin." The costs of collecting information about any one type of asset are sunk costs independent of the volume of trading in that asset. Consequently, auction markets depend on volume to spread these costs over a wide ...
... Auction markets depend on participation for any one type of asset not being too "thin." The costs of collecting information about any one type of asset are sunk costs independent of the volume of trading in that asset. Consequently, auction markets depend on volume to spread these costs over a wide ...
The Nasdaq-100 Index Option - The New York Stock Exchange
... expiration date (usually a Friday). In the event a component security in the NASDAQ 100 Index does not have a NASDAQ Official Opening Price on Settlement Day, the closing price from the previous trading day will be used to calculate the Settlement Value. The exercise-settlement amount is equal to th ...
... expiration date (usually a Friday). In the event a component security in the NASDAQ 100 Index does not have a NASDAQ Official Opening Price on Settlement Day, the closing price from the previous trading day will be used to calculate the Settlement Value. The exercise-settlement amount is equal to th ...
Martial law`s end may spur foreign flows
... Martial law's end may spur foreign flows The revocation of martial law is likely to attract foreign funds as the investment climate improves, says CLSA Securities (Thailand). "The lifting of martial law should significantly improve tourism, which is one of most important sectors in the country," man ...
... Martial law's end may spur foreign flows The revocation of martial law is likely to attract foreign funds as the investment climate improves, says CLSA Securities (Thailand). "The lifting of martial law should significantly improve tourism, which is one of most important sectors in the country," man ...
Stock Markets
... A well-functioning financial system is a basic necessity for a well-functioning economy. The goal of this course is o provide an introduction into stock market trade and to analyze the role of securities trade for the broader macroeconomy. This course will be to help students obtain a better underst ...
... A well-functioning financial system is a basic necessity for a well-functioning economy. The goal of this course is o provide an introduction into stock market trade and to analyze the role of securities trade for the broader macroeconomy. This course will be to help students obtain a better underst ...
Powerpoint - Ryan Safner
... optimality (or absence of it) of the resource allocation pattern at equilibrium; rather it depends on the degree of success with which market forces can be relied upon to generate spontaneous corrections in the allocation patterns prevailing at times of disequilibrium. (1973) p.6 ...
... optimality (or absence of it) of the resource allocation pattern at equilibrium; rather it depends on the degree of success with which market forces can be relied upon to generate spontaneous corrections in the allocation patterns prevailing at times of disequilibrium. (1973) p.6 ...
Securities Markets Primary Versus Secondary Markets How
... borrow up to 50% of the stock value Set by the Fed Maintenance margin: margin: minimum amount equity in trading can be before additional funds must be put into the account Margin call: call: notification from broker you must put up additional funds ...
... borrow up to 50% of the stock value Set by the Fed Maintenance margin: margin: minimum amount equity in trading can be before additional funds must be put into the account Margin call: call: notification from broker you must put up additional funds ...
A MicroEconomic Justification for Capacity Markets
... Stephen Keehn and Thomas Brill The past few years has seen numerous electric markets in the United States adopt some form of centralized capacity market. PJM and ISONE have recently both received FERC approval for multi-year forward centralized capacity markets and are beginning implementation. Cali ...
... Stephen Keehn and Thomas Brill The past few years has seen numerous electric markets in the United States adopt some form of centralized capacity market. PJM and ISONE have recently both received FERC approval for multi-year forward centralized capacity markets and are beginning implementation. Cali ...
The Four Big Questions For Investors After `Black Monday
... "Market moves compelled other investors to exit overcrowded consensus trades. This was illustrated by heavy selling of the dollar - a popular overweight position that has been profitable for much of the year. Gold, another safe haven asset that would typically benefit from market angst, was also dow ...
... "Market moves compelled other investors to exit overcrowded consensus trades. This was illustrated by heavy selling of the dollar - a popular overweight position that has been profitable for much of the year. Gold, another safe haven asset that would typically benefit from market angst, was also dow ...
Wheat-Corn Intercommodity Spread Options Contract
... CME Group is a trademark of CME Group Inc. The Globe Logo, CME, and Chicago Mercantile Exchange are trademarks of Chicago Mercantile Exchange Inc. CBOT and the Chicago Board of Trade are trademarks of the Board of Trade of the City of Chicago, Inc. NYMEX is a registered trademark of New York Mercant ...
... CME Group is a trademark of CME Group Inc. The Globe Logo, CME, and Chicago Mercantile Exchange are trademarks of Chicago Mercantile Exchange Inc. CBOT and the Chicago Board of Trade are trademarks of the Board of Trade of the City of Chicago, Inc. NYMEX is a registered trademark of New York Mercant ...
2010 Flash Crash
The May 6, 2010, Flash Crash also known as The Crash of 2:45, the 2010 Flash Crash or simply the Flash Crash, was a United States trillion-dollar stock market crash, which started at 2:32 and lasted for approximately 36 minutes. Stock indexes, such as the S&P 500, Dow Jones Industrial Average and Nasdaq 100, collapsed and rebounded very rapidly.The Dow Jones Industrial Average had its biggest intraday point drop (from the opening) up to that point, plunging 998.5 points (about 9%), most within minutes, only to recover a large part of the loss. It was also the second-largest intraday point swing (difference between intraday high and intraday low) up to that point, at 1,010.14 points. The prices of stocks, stock index futures, options and ETFs were volatile, thus trading volume spiked. A CFTC 2014 report described it as one of the most turbulent periods in the history of financial markets.On April 21, 2015, nearly five years after the incident, the U.S. Department of Justice laid ""22 criminal counts, including fraud and market manipulation"" against Navinder Singh Sarao, a trader. Among the charges included was the use of spoofing algorithms; just prior to the Flash Crash, he placed thousands of E-mini S&P 500 stock index futures contracts which he planned on canceling later. These orders amounting to about ""$200 million worth of bets that the market would fall"" were ""replaced or modified 19,000 times"" before they were canceled. Spoofing, layering and front-running are now banned.The Commodity Futures Trading Commission (CFTC) investigation concluded that Sarao ""was at least significantly responsible for the order imbalances"" in the derivatives market which affected stock markets and exacerbated the flash crash. Sarao began his alleged market manipulation in 2009 with commercially available trading software whose code he modified ""so he could rapidly place and cancel orders automatically."" Traders Magazine journalist, John Bates, argued that blaming a 36-year-old small-time trader who worked from his parents' modest stucco house in suburban west London for sparking a trillion-dollar stock market crash is a little bit like blaming lightning for starting a fire"" and that the investigation was lengthened because regulators used ""bicycles to try and catch Ferraris."" Furthermore, he concluded that by April 2015, traders can still manipulate and impact markets in spite of regulators and banks' new, improved monitoring of automated trade systems.As recently as May 2014, a CFTC report concluded that high-frequency traders ""did not cause the Flash Crash, but contributed to it by demanding immediacy ahead of other market participants.""Recent research shows that Flash Crashes are not isolated occurrences, but have occurred quite often over the past century. For instance, Irene Aldridge, the author of High-Frequency Trading: A Practical Guide to Algorithmic Strategies and Trading Systems, 2nd ed., Wiley & Sons, shows that Flash Crashes have been frequent and their causes predictable in market microstructure analysis.