Nasdaq defended its proposed $62 million compensation plan for firms hurt by its botched IPO of Facebook (FB).
In a letter sent to the Securities and Exchange Commission late Wednesday, Nasdaq (NDAQ) called the payout "fair and equitable."
The exchange operator told the SEC that, by law, it only owes trading firms, or so-called market makers, $500,000 based on SEC limits. "The proposed accommodation pool goes well beyond what is required under current MOREMaureen Farrell - Sep 20, 2012 2:17 PM ET
Global demand for U.S. securities is still strong, with China remaining the largest foreign holder of U.S. debt, according to the Treasury Department's latest report on foreign holdings.
The U.S. government's top international creditor continued to add to its holdings, albeit modestly, according to the July Treasury International Capital report, which measures the flow of funds into and out of U.S. securities, including Treasuries, agency-backed securities, corporate debt and stocks, MORECatherine Tymkiw - Sep 18, 2012 12:44 PM ET
Facebook's stock rallied almost 8% and closed at a 1-month high Wednesday, a day after CEO Mark Zuckerberg took an upbeat tone during his first public appearance since the company's botched stock market debut in May.
"I am really optimistic about our mobile monetization strategy," Zuckerberg said during an interview with TechCrunch founder Michael Arrington at the tech blog's Disrupt conference in San Francisco Tuesday.
The CEO cited the social media platform's high volume MOREHibah Yousuf - Sep 12, 2012 4:04 PM ET
Knight Capital, once one of the fiercest critics of Nasdaq's Facebook compensation plan, has done a 180-degree turn.
"We support Nasdaq's efforts to reimburse its member firms for losses caused by Nasdaq's actions and decisions during the first day of trading in FB," Leonard Amoruso, Knight's general counsel, wrote in a letter to the SEC late Wednesday.
No one expected Facebook (FB) to debut at the opening bell on May 18, but MORECatherine Tymkiw - Aug 30, 2012 2:44 PM ET
Nasdaq can't seem to put the Facebook IPO debacle behind it.
Shortly after the botched IPO, Nasdaq proposed a $40 million settlement to compensate brokers who were affected by trading glitches on Facebook's opening day (May 18).
Nasdaq (NDAQ) upped that figure to $62 million in mid-July, and Nasdaq CEO Bob Greifeld called it "definitive" during a July 25 conference call with analysts.
Citigroup (C) and UBS (UBS) have come out swinging. In MOREMaureen Farrell - Aug 23, 2012 12:33 PM ET
Knight Capital Group's stock rallied nearly 60% Friday afternoon, after online brokerage firms TD Ameritrade (AMTD) and Scottrade said they'd resumed routing trades through Knight's system.
TD Ameritrade CEO Fred Tomczyk said the decision to resume trading came after "considerable review and discussion," adding that Knight has "long been a good and trusted partner."
Knight (KCG) was behind a series of bizarre moves in otherwise thinly traded stocks early Wednesday. For 45 MOREMaureen Farrell - Aug 3, 2012 5:20 PM ET
American International Group (AIG) said it will buy back up to $3 billion of its stock from the U.S. Treasury Friday as part of the government's offering of $4.5 billion of the insurer's shares on the open market.
The stock sale will move the U.S. government closer to a point where it would own just half of the insurer's shares outstanding. The Treasury Department currently holds a 61% stake in the MOREMaureen Farrell - Aug 3, 2012 4:21 PM ET
Facebook is not very popular among investors these days. Shares of the social media giant hit a new low of just $19.82 Thursday, nearly 50% below their initial offering price.
The stock has been under pressure since last week, when Facebook (FB) reported its first earnings as a public company, and failed to relieve investor worries about slowing sales growth and its plan for mobile advertising.
As Facebook's stock continues to bleed, MOREHibah Yousuf - Aug 2, 2012 2:52 PM ET
Knight Capital Group (KCG) said Thursday that it will face a $440 million loss for causing a glitch that affected trading activity in nearly 150 NYSE-listed stocks.
Knight said in a statement that it has closed out of all its positions related to the erroneous orders and removed the software that caused the problems from it systems.
Shares of Knight, which fell 33% Wednesday, plunged as much as 54% in early trading MOREMaureen Farrell - Aug 2, 2012 10:13 AM ET
UBS said Tuesday that it lost $356 million on Facebook's IPO due to Nasdaq's trading glitches during the company's market debut in May -- and it plans to sue the stock exchange for every cent of it.
"UBS's loss resulted from NASDAQ's multiple failures to carry out its obligations, including both opening the Facebook (FB) stock for trading and not halting trading in the stock during the day," said UBS in MOREHibah Yousuf - Jul 31, 2012 2:16 PM ET
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