ON THE MONITOR
Does one millionth of a second—a microsecond— really matter? How about one billionth of a second? As exchanges and trading firms strive for ultra-low latency, a nanosecond most certainly can.
“Nanoseconds is the natural successor from microseconds, which was the natural successor from milliseconds,” said Donal Byrne, CEO of Corvil, a provider of electronic trading and market data latency management systems. “Likewise picoseconds will be the natural successor from nanoseconds. And so it is, in the world of low-latency and high-frequency trading.”
This month, BATS Exchange announced that it had decreased its average latency—the time it takes for the exchange to acknowledge or fill an order— to 250 microseconds.
“Two hundred fifty microseconds is a far cry from nanoseconds, but people would have looked at us five years ago and some of the major exchanges would have thought measuring in microseconds was probably crazy,” said Chris Isaacson, COO of BATS Exchange.
THE WEEK AHEAD:
TUESDAY, JANUARY 19
EARNINGS CALL: TD Ameritrade Holding Corp. (AMTD)
8:30 a.m. Earnings estimate: 26 cents (First quarter)
11 a.m. Estimate: -33 cents (Fourth quarter)
WEDNESDAY, JANUARY 20
EARNINGS CALL: Bank of New York Mellon Corp (BK)
8 A.M. Estimate: 51 cents
EARNINGS CALL: State Street Corporation (STT)
9 a.m. Estimate: 99 cents
EARNINGS CALL: Bank of America Corporation (BAC)
9:30 a.m. Estimate: -0.52 cents
SPEECH: Mary L. Schapiro, chairman, Securities and Exchange Commission
37th Annual Northwestern Securities Regulation Institute Conference 1 p.m., Hotel Del Coronado, Coronado, California
THURSDAY, JANUARY 21
Securities Industry and Financial Markets Association 7:45 a.m. AXA Equitable Auditorium, 787 Seventh Avenue, New York
HEARING: Nominees for Directors of Securities Investor Protection Corporation
Senate Banking Committee, 9:30 a.m., 538 Dirksen Senate Office Building, room 538
EARNINGS CALL: Goldman Sachs (GS)
11 a.m. Estimate: $5.19
EARNINGS CALL: Interactive Brokers Group Inc. (IBKR)
4 p.m. Estimate: 24 cents
FRIDAY, JANUARY 22
HEARING: Compensation in the Financial Industry
House Financial Services Committee 10:00 a.m., 2128 Rayburn House Office Building
THE WEEK THAT WAS:
BofA Appoints Goldman Vet Head of Global Markets and Research Technology
Congress Urged to Not Weaken State Securities Regulation
NYSE Fines Credit Suisse For Algo Run Amok
SEC Proposes To Ban Naked Access, Set Risk Management Standards
Bloomberg Launches Service to Aid Clearing of Credit Derivatives
SEC To Develop Concept Release on Market Structure
SEC moves to curb high-frequency trading
Obama Tax May Cost JPMorgan, Bank of America $1.5 Billion Each
Morgan Stanley and Goldman Sachs Fight for First
Despite LaBranche's Exit, NYSE Sees Life in Specialist Model
CBOE Delays New Options Market as SEC Mulls Ban on Flash Orders
Quant Capital Deploys Aleri CEP Technology for Algorithmic Trading
