High Frequency Trading arb opportunities

High Frequency Trading Enhances Market Efficiency In FX, Says NY Fed

In a new report, the New York Federal Reserve says that high frequency trading (HFT) has “enhanced market efficiency” in the foreign exchange markets.
Measurable arbitrage opportunities decreased as HFT was popularized
“Data (from the study) is certainly consistent with a view that the rise in algorithmic and High Frequency Trading enhanced market efficiency as measured by the availability and persistence of pricing arbitrage opportunities available in the FX spot market,” wrote the report’s author, Ernst Schaumburg . . .


This content is exclusively for paying members. Access all of our content on including years of timeless investment news and in depth analysis for only a few dollars a month by signing up here while also supporting quality content and journalism, or learn more about our premium content here

If you are subscribed and having an account error please clear cache and then cookies if that does not work email support@valuewalk.com and we will get back to you as quick as humanly possible

Saved Articles

Subscribe to our mailing list

* indicates required

Opt out of occasional 3rd party offers