Program trading volume on the New York Stock Exchange fell in
the week ended Oct. 8 from a week earlier as total volume also
declined, according to the subsidiary of NYSE Euronext (NYX).
Overall trading has been muted of late compared with historical
standards. Still, U.S. stocks defied expectations last month to
register their biggest September rally since 1939. The Dow Jones
Industrial Average rose 7.7% in what is traditionally the worst
month of the year for equities.
Daily program-trading volume was 550.8 million shares last week,
or 27% of the average total of 2.04 billion. That is down from
677.3 million, or 30.8% of the average total of 2.2 billion.
The most active NYSE member for program trading last week was
Goldman Sachs Group Inc. (GS), followed by Morgan Stanley (MS) and
Barclays PLC (BCS, BARC.LN).
Program trading encompasses a wide range of portfolio-trading
strategies involving the purchase or sale of a basket of at least
15 stocks.
-By John Kell, Dow Jones Newswires; 212-416-2480;
john.kell@dowjones.com