4 to 7 minutes is unacceptable. Market orders should be executed immediately, within a second or two. When clients reach our trading desk with market orders, I usually take the order and have an execution in a second or two, giving the report to them. But dont forget Jason, that sometimes there can be cues on SOES, specialists on nYSE might be matchnga piece (hopefuly through Datek you see an improvement if specialist matches the piece.).
Interesting, yesterday near the close there were some large seller on close market orders on the NYSE. Specialists were trying to find buyers but it looked like the only place to find them was down on the book, on the bid side. The specialists started printing large pieces on or at the bid, hammering down stocks in search of a equilibrium level where the closng piece could get done. Some stocks were some what 'held' where pieces below the bid were prints...ie..stock is 20 x 20 1/4....hesitates and no prints...then specialist makes it 19 1/4 to 20, still no printns...now he prints a large piece at 19 3/4....well everyone who was on the books bididng 20, 19 7/8 and 15/16 and 13/16 should get filled at 3/4., an improvement necessary since thats the place 3/4 where equilibrium lets the seller get the large pice off.
Maybe that was a reason for some of the delays...but again, you should get filled at 3/4, not 20. Another peril of trading with a firm that makes markets.
-steve |
