World Perspectives
equities

HFT is Manageable

At today's Senate Agriculture Committee hearing, even Andrei Kirilenko, the former CFTC chief economist and now MIT professor brought in to critique HFT, outlined a regulatory path rather than a firing squad.Those who dislike and distrust speculators, particularly clever speculators, will not be mollified, but today's Senate Agriculture Committee hearing suggested that high frequency trading (HFT) is here to stay. Chicago Mercantile Exchange (CME) chief Terry Duffy claimed concurrence by regulators that today's futures markets are more open and transparent than ever before. He noted that electronic trading has increased liquidity and narrowed bid/ask prices. Additionally, since the CME has imposed price/quantity limits and other means of bl...

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From WPI Consulting

Communicating importance of value-added products

Facing increasing pressure to quantify the value of export promotion efforts to investors, a U.S. industry organization retained WPI to develop a quantitative model that better communicated the importance of exports. The resulting model concluded that value-added meat exports contributed $0.45 cents per bushel to the price of corn, increasing support for that sector’s financial support of WPI’s client. In addition to serving the red meat industry with this type of analysis, WPI has generated similar deliverables for the U.S. soybean and poultry/egg industries.

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