Why the Middle East conflict is rewiring the execution dynamics of European market microstructure
Liquidnet’s Prashanth Manoharan, head of execution consulting EMEA, takes a deep dive into how the escalating conflict in the Middle East is driving a structural shift in the cost and complexity of trading in European equity markets. The prospect of an energy shock has driven sharp dispersion in performance between energy importers and exporters, with significant implications for liquidity, spreads and execution conditions between countries and sectors. For buy-side traders, understanding and adapting their strategies to this complex and evolving microstructure is crucial.
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