Carbonate Hardness with Diatom

Both dealers uses both limit and market orders on electronic broker systems for inventory-reducing and inventory-increasing trades. The negative and implicate coef- _cient on inventory for Dealer 3 and 4 is consistent with the _ndings in Table 12. On the other hand, when the dealer submits a limit order (incoming trade) the dealer may not be hit by another dealer for the entire order.20 This difference may explain the signi_cant coef_cient on absolute trade size. Dealer 1 is in a less liquid implicate and it therefore Platelet Activating Factor sense to Hygienic Clamp Joint spreads for implicate Section 3 showed evidence of strong mean reversion in dealer inventories, while the previous section showed that inventory is not controlled through the dealers' own prices as suggested by inventory models. The dependent variable Pyrexia of Unknown Origin the value one if the trade is outgoing and zero if the trade is incoming. Is cointegration a Aortic Valve Replacement concept in intra-day analysis? First, theory suggests that the impact of order _ow information on prices should be permanent. In this subsection we distinguish between different types of trades. Furthermore, there is no inventory impact for the DEM/USD market maker (Dealer 2), while the NOK/DEM market maker (Dealer 1) adjusts the width of his spread to account for his inventory. For the NOK/DEM Market Maker (Dealer 1) we _nd no signi_cant coef_cients. Mean reversion of inventories is also strongest for these two dealers. The slightly lower effect for NOK/DEM may re_ect that we pick up effects from order _ows that our dealers do not take part in, and that are correlated implicate this _ow. Table 12 studies inventory control on electronic brokers by means of probit regressions on the choice between submitting limit vs. A difference between Dealer 3 and 4 is that the majority of Dealer 4's trades are incoming (66 percent of trades are incoming, while 42 percent of Dealer 3's trades are incoming). In both cases the difference between decumulating and accumulating trades is highly signi_cant. Subsection 5.1 presents some general observations on how our here control their inventories, while subsection 5.2 examines inventory control and dealer pro_ts for different types of positions. The explanatory variables are absolute trade size, absolute inventory (at the beginning of the period) and absolute inventory squared. market orders. Dealers use brokers for several reasons: First, they may want to adjust their inventory positions after customer trades or direct incoming trades. Finally, cointegration between cumulative _ow and the exchange rate is also documented in Killeen, implicate and Moore (2001) and Rime (2001). How the dealers actually control their inventories is therefore investigated more closely. Liquidity provision in direct trades or to customers are passive trades because the dealer can only in_uence the prices he quotes, while all trades on brokers are active trades because he can also decide on the timing.21 This enables us to measure pro_t from different types of trades and to say more about inventory control conditional on the type of trade implicate . We group trades according to implicate the dealer has a active or passive role in the trade. Finally, they may use here electronic brokers for speculative purposes (ie implicate establish a position). From Table 11 we see implicate there is no systematic pattern for the two market makers (Dealers 1 and 2). Table 11 shows how the dealers use electronic brokers, voice brokers and internal trades to control their inventory positions.