Decimal trading

Decimal trading

The quotation and trading of stock or bond prices in decimals, as opposed to the quotation of prices in fractions.

Decimal Trading

Trading in which the price of a security is quoted using decimals rather than fractions to represent divisions of a dollar. That is, a quote in decimal trading would be $10.25 instead of $10 1/4. Decimal trading as become more common with digitalization. See also: Drill Bits.
References in periodicals archive ?
In fact, they find an average decrease of 13 basis points, or roughly $224 million a month, in savings of institutional trading costs after moving to decimal trading.
By narrowing the spread, decimal trading could save investors money by lowering the ask price.
The NYSE has been gradually phasing in decimal trading since August.