MMI Blog – There’s HFT in Treasuries Trading? What’s Next, Computers in Phones?

MMI Blog – There’s HFT in Treasuries Trading? What’s Next, Computers in Phones?
The use of high frequency trading tools by the top firms dealing in U.S. Treasuries – banks and non-banks alike – has been prevalent for a long time. But you would think HFT in treasuries is “Breaking News” after the release of a confidential BrokerTec list generated media coverage reporting “HFT Dominance.” The BrokerTec list of top interdealer firms for treasuries by volume had just two banks listed among eight proprietary trading firms. While it is true that HFT is the trading platform of choice in treasuries, it is also true that it has been the case for a very long time regardless of who is on the list.