Stocks are priced as the discounted value of future factors. The variability of these cash-flow is insufficient to explain market volatility. Macro-economic uncertainty is actually a much better explanatory factor and predictor.
Should US stocks settle T+1? The current T+2 settlement date is considered antiquated, and the Robinhood affair (gee, them again???) has relaunched the debate. Here is a review of the DTCC’s proposal, as well as an idea for derivatives traders.
#FinancialMarkets, #DTCC, #Settlement, #Derivatives, #MarketStructure
Navesink International (www.NavesinkInternational.com)