2  BIS Review 160/2010  market impact, an empirical study has shown that this type of algorithmic trading contributes to stabilizing intra-day realized volatility. Thus, algorithmic trading may help stabilize market prices, under normal circumstances and most of the time. 8 There is an additional positive point. Electronic trading enables faster information propagation.
Today I will discuss the low inflation environment we are experiencing here in New Zealand and in many other countries. To start, I would like you to think about the mobile phone in your pocket, because it represents some of the global trends I will refer to.