It seems that despite a recent multi-hour stock market shutdown, allegations that speedy traders play unfair and that there are too many order types, confidence in the stock market’s structure is great. It’s at the highest level since the 2010 Flash Crash.
As a matter of fact, confidence is at a five-year high, according to a recent TABB Group survey, conducted by created and analyzed by TABB principal and head of US equities research Sayena Mostowfi, assisted by research analyst Valerie Bogard.
The survey was taken on July 10th, just two days after a multi-hour outage at the nation’s oldest exchange which was caused by a software upgrade.
There were 266 respondents to the TABB NYSE System Glitch Survey, 27% consisted of buyside firms and 32% Broker Dealers.
According to the survey, confidence in the U.S .equity market structure is at a 5-year high with 64% of the respondents having “high/very High” confidence and 18% “neutral.”
Tabb also reported the least negative (weak/very Weak) respondents were execution venue/clearing house (11%) followed by vendors (12%) and asset manager/hedge funds (13%).
See the complete survey and source comments here
Also, as the NYSE shutdown continued, some professionals wondered about its effect ts on the closing auction and pricing process. In response, institutional firms (37%) and broker dealers with customer flow (25% of market makers with customer flow and 42% agency brokers) are revisiting their closing auction procedures.
In reviewing the results,
Tabb said it was factoring that NYSE-listed (Tape A) stocks account for approximately 53% of U.S. National Market System (NMS) stock volume. Also, NYSE accounted for 23.2% of NYSE-listed stocks and 12.3% of overall equity volume.
