DOW JONES NEWSWIRES
Program trading volume slid on the New York Stock Exchange last
week, although the percentage of daily volume increased due to
lower total trading activity, according to the subsidiary of NYSE
Euronext (NYX).
Trading is usually light in the latter weeks of December.
Meanwhile, the Dow Jones Industrial Average finished the year up
11%. The Dow's gain for the year represented its second straight
annual increase, with almost half of the 2010 climb having come in
December, when it rose 5.2%.
Daily program-trading volume in the week ended Dec. 31 was 348.7
million shares, or 31.8% of the average total of 1.1 billion
shares. That compares with 471.7 million shares, or 29.8% of the
average total of 1.58 billion, a week earlier.
The most-active NYSE member firm for program trading last week
was Goldman Sachs Group Inc. (GS), followed by Morgan Stanley (MS)
and Barclays PLC (BCS, BARC.LN)--a frequent top-three lineup.
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