US stock exchanges push for sub-penny pricing-WSJ

Jan 26 (BestGrowthStock) – Major U.S. stock exchanges are pressing
the regulator to allow price quotes in increments as small as
one-tenth of a cent, the Wall Street Journal said on Tuesday.

Stock exchanges, including NYSE Euronext (NYX.N: ) and Nasdaq
OMX Group Inc (NDAQ.O: ), said the move would induce electronic
traders to trade through their platforms, instead of opting for
private trading venues known as “dark pools,” the paper said.

Dark pools are high-frequency trading platforms where buyers
and sellers can anonymously match large blocks of stock, keeping
details of the deals and prices concealed to prevent distorting
prices in the broader market.

“We have had institutions, hedge funds, a broad variety of
customers asking for this,” Brian Hyndman, senior vice president
of transaction services for Nasdaq OMX Group, told the paper.

On Jan. 13 U.S. securities regulators took their first stab
at deciding whether rules are needed to curb high-frequency
traders, whose lightning-fast computer programs now dominate
equities markets. [ID:N13156728]

Stock Market News

(Reporting by Sakthi Prasad in Bangalore)

US stock exchanges push for sub-penny pricing-WSJ