> there was tension over the course of that day. You have a gift for understatement. (Love it.)
On Fri, Aug 9, 2019 at 10:45 PM Donna Y <[email protected]> wrote: > Hi Bob > > Thanks for all those details. > > I heard this third hand—it was not about a system crash-- at the time > Morgan Stanley trading systems were probably the best in the industry—I > think what I heard was there was surprise that the automated systems had > parameters that created a spiral of rapid trading into falling prices—also > I think Morgan Stanley offset equity losses with gains in currency trades. > They subsequently modified their software to include a circuit breaker-- a > mechanism to shut down trading when the market falls too fast or individual > securities trade dramatically outside the normal range. > > What I meant by a ride was not that it necessarily ended in a loss but > that there was tension over the course of that day. My personal > recollection is only what I heard from colleagues in our investment > department. > > Computers now account for 50 to 90 percent of stock market trades on a > given day. > > > Stock exchanges can now execute trades in less than a half a millionth > of a second—more than a million times faster than the human mind can make a > decision. > > > Donna Y > [email protected] ---------------------------------------------------------------------- For information about J forums see http://www.jsoftware.com/forums.htm
