SEC Summons Exchange Chiefs to Washington

[TomCADem]

Source: Wall Street Journal

Securities and Exchange Commission Chairman Mary Schapiro summoned the heads of leading U.S. stock exchanges to a Monday-morning meeting in Washington as more details of the events leading up to Thursday's stock-market free fall trickled out.

Ms. Schapiro wants to examine ways to prevent a recurrence of the plunge, including possible short-term fixes, according to people familiar with the matter. The meeting is expected to address how disparate trading rules, such as different circuit breakers at the New York Stock Exchange compared with those elsewhere, may have affected trading.

NYSE Euronext Inc. Chief Executive Duncan Niederauer and Nasdaq OMX Group Inc. CEO Robert Greifeld, who traded barbs Friday regarding the causes of the breakdown, agreed to attend the SEC meeting, the people said. Executives with BATS Global Markets and Direct Edge, two relatively new exchange operators that specialize in electronic trading, will also attend.

Staff from the SEC worked throughout the weekend analyzing reams of trading data they received from the exchanges and other market participants. The staff is looking for trading glitches and whether something in the futures market may have affected trading in the stock market, one person familiar with the matter said.


Read more: http://online.wsj.com/article/SB10001424052748704307804575234760774442830.html?mod=WSJ_hpp_LEFTWhatsNewsCollection

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Interesing how the NYSE and NASDAQ chiefs are pointing fingers at each other. Your exchange sucks! NO! Your exchange sucks!

Anyways, I am sure the Republicans will decrey any effort at regulation or coordination as socialism, because the free market is infallible dontcha know?

[PSPS]

1. They have to put an end to the illegal automated front running

Otherwise, it will remain nothing more than a casino that's rigged in favor of insiders.

[Johnyawl]

2. The stock market has always been a casino, rigged in favor of insiders