Price Discovery

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Price Discovery

The process by which buyers and sellers interact to determine the fair market price of an asset. See also: Law of supply and demand.
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Platts and TSI operate rigorous price discovery processes in the physical metals markets, and are recognized as sources of independent and transparent data," said Tim Hard, TSI director for Asia.
There is, however, one important difference in the price discovery processes.
Figure 2 contains graphs of CARs calculated from the abnormal returns presented in Table 3 and illustrates the similarity in the price discovery processes.
The similarity in price discovery processes for the NYSE and the NASDAQ nontrading-hours announcements, given that an overnight period of nontrading precedes the post-announcement opening of trade on both exchanges, is consistent with the notion that the NYSE's formal call market opening mechanism and the NASDAQ's informal pre-opening price discovery process are both effective in generating an informative opening price.
As the figures show, the price discovery processes are similar to those observed for the sample as a whole, although as expected, the magnitude of the price response to the more surprising announcements is larger.
In this section, we examine price continuity following the announcements and trading volume in order to further our understanding of the price discovery processes.
how to use the standardized credit indices as the most appropriate instruments in price discovery processes and why these indices are the essential tools for short term credit portfolio management
In addition to the petrochemicals forward curves based on Platts' open market price discovery processes, the petrochemical industry now has access to the only 24-forward-month benzene price curves as derived by quantitative model, based on Platts editorial market knowledge and extensive database of historical market prices.
The combined offering of price curves based on open-market price discovery processes and by quantitative model facilitates the industry's need for price references that meet a variety of purposes, including accounting activities in line with the U.
Jorge is a longstanding champion of transparency in markets and has been instrumental to the development and evolution of Platts' price discovery processes and methodologies, which help bring efficiency to markets on a daily basis," said Larry Neal, president of Platts.
To assist this growth, Platts is increasing its ESPO price discovery processes to help bring more transparency to this key burgeoning market.