Percentage of NYSE-Listed Stocks Traded Through Exchange Falling

Oct. 5.07 | About: NYSE Euronext (NYX)

It is curious that during the recent recovery from the July correction, volume seemed unusually low. We looked back over the past year at the shares traded for each stock listed on the New York Stock Exchange versus the volume actually traded on the exchange. The analysis, shown below, yielded an interesting conclusion.

While most analysts and investors agree that trading on the floor of the exchange is obsolete, and the building will become a museum in the next year, it seems that trades executed through the NYSE are also dwindling. A year ago 68% of all of the shares for NYSE listed stocks were traded through the exchange, now that number is 43%. To further illustrate: on 8/16, when the record 2.9 billion shares were traded on the New York Stock Exchange, that number was actually more like 6.2 billion for the stocks.

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