[TigerLikesRooster]

A bunch of big players get together, and runs their own non-public exchange via computer software. There are several of them and their number is growing. They can move stuff without others finding out about it. It could create multiple compartmentalized market with different prices for a same item. Those prices are known only to those in the pool.

So a bunch of stuffs could be unloaded in one dark pool, but those in public stock exchange or other dark pool venues do not know what is going on. People may trade things assuming their price is high, but in reality, it can be low.

Price as a market signal for demand and supply breaks down.

[Ron Jeremy]

It could create multiple compartmentalized market with different prices for a same item. Those prices are known only to those in the pool.

Nah.. all they can hide is volume. Prices won't be different as different prices create an arbitrage opportunity that these quants would quickly make disappear.

[GOPJ]

So a bunch of stuffs could be unloaded in one dark pool, but those in public stock exchange or other dark pool venues do not know what is going on. People may trade things assuming their price is high, but in reality, it can be low. Price as a market signal for demand and supply breaks down.

Sounds like what's happening with oil - but I don't believe this is done with commodities, is it?