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| Posted by: Dunkenstein
- Leader [039541913] Fri, Nov 21, 2008, 19:51
Yesterday, Stephen Jackson gained 11 owners, yet his price went down $.03M.
I sent an email to TSN asking about this and they responded "Basically, what's happening is that the net that's displayed has to be calculated after the price change is calculated. So it's possible for the net to not correspond exactly with the price change when people make last minute adds/drops."
I replied "How can you calculate price change without knowing the net? It seems to me that the price change is based on the net." I got no response to my question.
So it appears that in their desire to have price changes ready at 11pm EST on the dot, they ignore a bunch of late adds and drops. They call their price changes a "market-based" system. But what would happen if the NYSE ignored the last hour of trading when they set the price for a stock?
No one is demanding that they have the price changes precisely at 11pm EST. Why don't they just wait until they've tabulated all the buys and sells and then change the prices. They could easily freeze all trades at 11pm EST, properly calculate price changes and then unfreeze at midnight. |