Analyzing the changes in retail trading
2022.06.29 19:09
Analyzing the changes in retail trading
Over the past couple of years, there has been a surge in the volume of trading in United States stocks, which is currently routinely around 10 billion shares per day. According to the data, the retail sector has evolved into a more important player in the market, particularly for certain companies. But during this entire period, has the retail sector been purchasing or selling?
How does this matter?
Numerous pieces of evidence suggest that retail has developed into a more significant source of funding for businesses and is contributing greater liquidity to market environments. This is mostly supported by the U.S. Retail Equity Flows (UREF) statistics. Other bigger investors need to have an understanding of the influence that retail investors have on trading activity, market values, and liquidity.
