TRADING PACES: Tokyo, Korea to Promote Each Other’s Stocks
December 8, 2011
The Tokyo Stock Exchange and the Korea Exchange are making moves to make it easier to find each other’s prices and, later, to place orders between the two markets. Trading Technologies connected its derivatives trading system to the Tokyo exchange. KVH made a connection from Tokyo to the Australian Securities Exchange. And Deutsche Boerse keeps trying to sate European regulators on its takeover of NYSE Euronext.
Tokyo, Korea Exchanges: The Tokyo Stock Exchange Group and Korea Exchange have made the prices of stocks listed on both exchanges available on each of their websites “in order to promote greater capital circulation between the two markets.” In addition, the exchanges will begin to talk about developing infrastructure to make it easier to get market data from each market and to place orders at either market. Also, the TSE Group and KRX will look to promote mutual-listing of ETFs and shared derivatives products. TSE Group and KRX will engage in “medium-to-long term staff exchange” as part of the process.
Trading Technologies International: The global provider of high-performance trading software for derivatives professionals opened a gateway from its X_Trader derivatives trading system to the Tokyo Stock Exchange. This allows trading of Japanese government bond futures and options, various equity indexes and equity options. The firm now provides access to all major Japanese derivatives markets, including Osaka Securities Exchange, Tokyo Commodity Exchange, Tokyo Grain Exchange, Tokyo Financial Exchange and TSE. The firm also provides connections to three-dozen markets in North and South America, Europe, the Middle East and the Asia/Pacific region.
KVH: The information delivery service started by Fidelity Investments will expand its ultra low-latency network for capital markets to Sydney by adding a new network point of presence at the Australian Securities Exchange’s new data and co-location center. The route from KVH Tokyo Data Center 1 to the ASX Australian Liquidity Centre will be operational on February 6, 2012 and offer a trip time below 100 milliseconds.
Deutsche Boerse, NYSE Euronext: Deutsche Boerse is considering an offer to spin off part of its derivatives business, to placate European antitrust regulators about its intended takeover of NYSE Euronext, Bloomberg reported. European Union regulators told Deutsche Boerse and NYSE Euronext that the concessions they have offered so far didn’t go far enough. Regulators also weren’t convinced that offering rival exchange operators limited access to Deutsche Boerse’s clearing house would foster enough competition for exchange-traded derivatives, according to the report.
