The positive effect of the new rules on reporting is that a trade only crosses the Exchange once. For instance, a member's trading with customers in which the member has not assumed a price risk will only appear as one trade against three trades under the previous rules. Previously, many of the reported trades caused price noise, because they were registered in the trading system up to several hours after they had been concluded - and the price level could thus have changed considerably in the time in between.
The adverse effect of the fewer reports is a decline in trading on the equity market. This technically reasoned decline combined with the seasonal decline have resulted in a 50-per cent reduction in share trading in the month of July and August in relation to the average monthly trading in the first half of 2001.
President and CEO Hans-Ole Jochumsen says: "Almost around the world the equity markets have seen steep declines in trading in the summer months of July and August. For instance the Finnish equity market experienced declines of 41 and 44 per cent respectively, compared with the average daily trading in the first half of 2001. The Swedish equity market has in each of the two summer months been subject to trading declines of 45 per cent, whereas trading on the Oslo Børs decreased by 45 and 27 per cent in relation to the first half 2001. In other words, it is worth noting that steep declines in trading have also taken place on the foreign markets without the influence of new rules, however. In this perspective, among other things, we are able to maintain that the Danish equity market is performing less poorly than the foreign markets."
