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T3 CEO Sean Hendelman Discusses the Lack of Market Volatility with CNBC

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Yesterday, CNBC's Bob Pisani asked “Where's all the volume and volatility gone?”

Pisani pointed out that the realized volatility is near historic lows, adding that “given uncertainty in Europe, uncertainty with the Trump agenda, and uncertainty with the global economy, well, it just seems like the Volatility Index should be a lot higher than 12.”

To find the answer to the mystery of why market volatility is nowhere to be found, he turned to several market experts including Sean Hendelman, CEO of T3 Trading Group and T3 Live.

Sean suggested that automated and news box traders may be having an impact:

Thanks to advances in trading technology, the market has become extremely efficient. “With automated traders and news box traders the prices of stocks — supply and demand — is extremely efficient,” Sean Hendelman at T3 Trading Group told me. “Not only that, when there is news on a stock or industry group the speed at which the underlying names are efficiently priced is almost immediate.”

Click here to read the article on CNBC.com.

 

 

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1 comment
Eric D says April 7, 2017

I feel the lack of volatility is related to the ever increasing correlations and may be caused in a large part by ETF s

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