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Non-Tech : Market Makers - What They Do and How They Do It

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To: dave carroll who wrote (242)5/25/1999 4:14:00 PM
From: Jonny White  Read Replies (1) of 429
 
Very valid question Dave. I think it's more the agenda of the firm than the individual MM's at the firm. Example, NITE pays for much orderflow so you might see them jumping in and out of the inside bid/offer because they're filling small orders as they get them. Watch GSCO and MSCO when they're at the inside, although they might be posting 1000 shares or less to buy or sell, you've probably noticed they can hang out there for quite awhile. This is because they do heavy institutional volume and are refreshing their bids/offers as they execute, remember, it's the big boys that really don't want us to know what they're doing because they have big orders that would influence the market.

Hope this helps,

Jonny
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