US stock exchanges announce flash trading ban
The operators of the Nasdaq and BATS US stock exchanges are to ban a practice that gives some brokerages a split-second advantage in buying or selling stocks.
The practice, known as flash order trades, give certain members of exchanges the ability to buy and sell order information for milliseconds before that information is made public.
High-speed computer software can take advantage of that brief period to allow those members to get better prices and profits.
Earlier this week, Securities and Exchange Commission Chairman Mary Schapiro said the agency was moving to ban the practice.
