It seems almost ancient history to recall Chicago derivatives traders sitting at a desk above a less significant trading floor playing a daily game of spread-arbitrage along the yield curve with the cash markets in New York. Now in the span of time it takes a human to point and click on a computer a high frequency trading algorithm could have bought and sold the same strategy 100 times over.
New York Fed: Cash and futures markets viewed as one from price discovery standpoint
Back in the ancient days of trading, just over a decade ago when humans were generally the execution mechanism, it was the...
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