intermarket trading

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Intermarket Trading

Trading a single security on two different exchanges. For example, one may buy a stock on the American Stock Exchange and sell it on the NYSE. Intermarket trading is a fairly common arbitrage strategy, whereby one takes advantage of the difference in price on the same security on two different exchanges in order to make a profit.

intermarket trading

Trading that occurs between two or more markets. For example, an individual might engage in arbitrage by purchasing stock index futures on one exchange and then selling options on the same futures on another exchange.
References in periodicals archive ?
He was also actively involved in the drafting, approval and implementation of the National Market System plans, such as the Consolidated Quotation System Plan (CQS), the Inter-market Trading System Plan (ITS), the Consolidated Tape Association (CTA) and the Unlisted Trading Privileges Plan, and was a member of their Operating Committees.
Like NYSE(R) Rule 390 that "imprisoned investor trade execution on the floor of NYSE" and NYSE Rule 500 that "imprisoned issuer listings on the floor of the NYSE", both repealed under pressure, Putnam asserted that current NYSE anti-competitive barriers still exist today, protected by the Inter-Market Trading System (ITS) Plan, its trade through rule and governing administrative policy.
TT's server-side spreading engine, Autospreader Strategy Engine, in particular, unlocks the potential for traders to execute compelling inter-market trading strategies electronically using Eris Exchange Interest Rate Swap Futures.

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