Why new Dow stocks could add to market volatility
Patti Domm – CNBC
Nike, Visa and Goldman Sachs join the Dow 30 at a historically bad time for the stock market, and they could make it even more volatile.
What You Really Need to Know About September’s Market Volatility
WilliamBriat – Benzinga
We have now entered into September, one of the most volatile weeks for the key stock indices in the U.S.economy. With this, there are questions as to where these key stock indices are going next. The bulls and the bears are at it again, adding to the noise already present.
Is the VXX Headed for a New Record?
Adam Warner – The Options Insider
Our good friend the iPath S&P; 500 VIX Short Term Futures ETN (NYSEARCA:VXX) (or just the “VXX”) is on a roll! Sort of.
It has listed for 1,161 trading days now, and has hit an all-time low on 258 of those days. In 2013, it hit an all-time low on 54 trading days. But the last time it pierced its low bar was back on Aug. 5, or 25 trading days ago!
Penney for Your Thoughts
Andrew Giovinazzi -The Options Insider
There is a small sigh of relief in the ongoing Syria Crisis. Who would have thought that Mr. Putin steps in to be the humanitarian in all this? Starting the clock two weeks ago almost nothing has been to script.
Videocast: VIX premiums erode
The Future of Financial Mathematics
Photo Nicole El Karoui – Paris Tech Review
How do financial mathematics specialists imagine the markets in five to ten years? What exactly will their role look like? In a speech before ENSAE ParisTech alumni, specialist Nicole El Karoui addresses these issues through a retrospective history of both the academic discipline and business practices. Over time, specific stakes have shaped a field that remains crucial to the financial business and keeps evolving.
**Thought this was interesting if a bit nerdy. -JB
Rethinking the future
FTSE Global Markets
Reality continues to bite in the broker-dealer segment. The challenge is to deliver cost effective execution services as revenues remain constrained. Fundamentally, the execution services set continues to be cut, refined and molded to suit changed market conditions. The agency broking business model has borne the brunt of change; unadulterated market offerings invariably do.
SEC’s White to Push Exchange Executives for Better Data Backups
Dave Michaels – Bloomberg
Exchange executives and securities regulators will discuss improvements in systems for distributing price data as they meet in Washington tomorrow in the latest attempt to strengthen the fragmented U.S. equity market.
Nasdaq CFO Says Complexity Is Obstacle to Worry-Free Markets
Sam Mamudi – The Washington Post
The complexity of the U.S. stock market poses the biggest challenge to ensuring systems run without failing, Nasdaq OMX Group Inc. Chief Financial Officer Lee Shavel said.
A six-year-old rule known as Reg NMS requires U.S. equity exchanges to route trades to the venue with the best price, a shift that spread trading across more than 50 markets.
REGULATION & ENFORCEMENT
New Finra Dark Pool Rule Could Surface Next Month
John D’Antona Jr. – Traders Magazine
The Financial Industry Regulatory Authority is likely to publish a draft of a rule proposal requiring dark pools to report their trading volume in October or November, Traders Magazine has learned. That will be followed by the submission of a formal rule proposal to the Securities and Exchange Commission before the end of the year.
The chances for its approval next year are high, according to industry execs.
Exchange CEOs Heading to SEC Meeting over Nasdaq Outage, SIPs
Ivy Schmerken – Wall Street & Technology
After the Nasdaq outage, SEC officials should find out if the securities information processors are up to handling a new and complex role with the market-wide Limit Up-Limit Down mechanism.
CFTC fails to show Corzine didn’t supervise MF Global, ex-CEO says
Carlyn Kolker – Reuters
The Commodity Futures Trading Commission’s lawsuit against former MF Global chief executive Jon Corzine should be dismissed because it fails to show that he didn’t properly oversee the failed brokerage firm, Corzine said in newly filed court documents.
**So if Corzine was not at fault and it was those who worked for him then why when things were going well was it Corzine’s doing and he collected big bonuses? -JB
Can low volatility strategies deliver?
David Campbell – Wealth Manager
Volatility management strategies have expanded aggressively in recent years, catering for a generation of investors traumatised by the historic spike of 2008 and periodic eruptions since.