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closing prices can be done relatively fairly.  But still can be manipulated up or down slightly as players absorb a loss on the exchange if they are levered 5X on some off exchange derivative.  that's what so offends Chris Cook.

but then, no one is forced to do derivatives that price off of the close.  

by HiD on Thu Sep 7th, 2006 at 06:11:37 PM EST
[ Parent ]
The trader that sold you the derivative will have hedge orders in the book too, they should cancel this kind of thing.

And asianing rules indeed :).

by Laurent GUERBY on Fri Sep 8th, 2006 at 03:11:11 PM EST
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