They say that stocks go down during the day and up at night

Re:They say that stocks go down during the day and up at night by brmgb on Tuesday February 07, 2023 @04:51AM (#34690719)

It’s just parasitism on top of the legitimate activities of the market (capital allocation).

People who benefit from it (market administrators, traders) like to pretend it increases the liquidity of the market and that it’s a good thing. How you appreciate this argument generally directly depends of how much you stand to gain from it being accepted.

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Re:They say that stocks go down during the day and up at night by astrange on Tuesday February 07, 2023 @06:33AM (#34691395)

HFT/market making is good for retail investors. Otherwise you'd have a lot more trouble and higher fees investing eg $100 at a time.

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Re:They say that stocks go down during the day and up at night by brmgb on Tuesday February 07, 2023 @07:13AM (#34691719)

Yeah, yeah, I know the drill lower fees, faster price discovery, better liquidity. You will have a hard time convincing me any of these benefits are worth tolerating the damage speculations wreak like clockwork every ten years or so but I know I am on the losing side of this battle.

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Re:They say that stocks go down during the day and up at night by astrange on Tuesday February 07, 2023 @09:08AM (#34692888)

Market makers aren't speculators. It's like the opposite.

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Re:They say that stocks go down during the day and up at night by brmgb on Tuesday February 07, 2023 @10:29AM (#34694040)

Market makers very much are speculators. They intend to make money on the spread. They clearly are not investors.

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Re:They say that stocks go down during the day and up at night by astrange on Tuesday February 07, 2023 @11:39AM (#34694990)

Should we abolish grocery stores because people should buy food from cereal companies?

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