Robots Step In More Than Ever When Credit Traders Go on Vacation

When US credit traders go to the beach, algorithms are increasingly stepping in for them, allowing transaction volume to stay relatively high even during a traditionally slow period.

Algorithmic trading accounted for more than 40% of trading in the US high-grade market in August, a percentage that has climbed steadily since that month in 2020, when it was less than 10%, according to data from MarketAxess Holdings Inc., an electronic trading platform. In the last four years, algo activity usually dipped in September and picked up again in the last three months of the year, underscoring how automated trading ...