DOW JONES NEWSWIRES
Program trading volume dropped last week on the New York Stock
Exchange as overall trading activity was also down, according to
the subsidiary of NYSE Euronext (NYX).
The results followed a rebound in the prior week after a lull
during the holiday season. Trading is usually light in the final
weeks of the year. Meanwhile, the Dow Jones Industrial Average is
up about 2.5% so far this year.
Daily program trading volume in the week ended Jan. 14 was 512.1
million shares, or 26.1% of the average total of 1.96 billion
shares. That compares with 610 million shares, or 27.7% of the
average total of 2.21 billion shares, a week earlier.
The most active NYSE member firm for program trading last week
was Morgan Stanley (MS), followed by Goldman Sachs Group Inc. (GS)
and Barclays PLC (BCS, BARC.LN). Those three are frequently tops on
the list.
Program trading encompasses a wide range of portfolio-trading
strategies involving the purchase or sale of a basket of at least
15 stocks.
-By Matt Jarzemsky, Dow Jones Newswires; 212-416-2240;
matthew.jarzemsky@dowjones.com