Posted on 05/11/2010 5:46:11 AM PDT by TigerLikesRooster
* MAY 10, 2010, 6:50 P.M. ET
UPDATE: SEC, US Exchanges Agree On Market-Wide Circuit Breaker
(Updates with comment from the Treasury Department, CFTC Chairman Gary Gensler, and additional detail.)
WASHINGTON (Dow Jones)--The U.S. Securities and Exchange Commission and the major trading exchanges agreed Monday a market-wide "circuit-breaker" system should be established to handle the type of market volatility demonstrated in Thursday's unsettling market plunge, according to people familiar with the matter.
At the meeting, the exchanges each agreed to give regulators a plan for how to alter their own rules to meet a more unified standard within 24 hours, the people said.
The exchanges agreed with SEC Chairman Mary Schapiro that the disparity between how ...
(Excerpt) Read more at online.wsj.com ...
P!
Like Denninger said the other day, the solution is to make them turn off the damn HFT computers. Their sole reason for existence is to game the system.
As you once mentioned, they are indeed resorting to all kinds of outlandish tricks. Erasing a segment of market activity after review? Instant replay for a stock market?
They already have one of those, they pause if it drops by 1050
Well, now they can cancel the trade they do not want. Down the road, they could shoot wayward traders(or computers) on sight, if it happens.:-)
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.