Goldman: We reported trading data

July 6, 2009

Goldman Sachs is trying to shoot down speculation that the weekend arrest of a former employee has anything to do with the firm mysteriously disappearing from a New York Stock Exchange list of the firms with the most active progam stock trading systems.

Goldman spokesman Michael Duvally says: “According to the data Goldman Sachs submitted, we are certain we were among the top firms in terms of program trading volume for the week ending June 26.”

What Duvally is referring to is a weekly program trading report from the NYSE that lists the trading volumes for the top 15 firms. Goldman usually ranks at the top of this weekly chart. But it mysteriously disappeared from the chart for the week ending June 26.

And the NYSE now says it goofed in not putting Goldman’s name on the list.

“Due to an error on our part, the program trading report needs to be revised and we will have a revised list out later this week,” says NYSE spokesman Ray Pellecchia. “It was a system error on our part.”

The NYSE confession would seem to throw cold water on speculation that Goldman dropped out of the top 15 because it scaled back on program stock trading after learning that former employee Sergey Aleynikov allegedly stole access codes to its automated trading platform. Aleynikov, arrested on July 3, remains in federal custody at the Metropolitan Detention Center in Brooklyn, after failing to post bail.

Of course, we still want to see those revised numbers to see if there’s any significant decline in Goldman’s trading volumes. If that occurs, it could still indicate the firm scaled back some trading activity as this scandal was unfolding.

But for now, we’ll just have to wait and see and take Goldman’s word that these incidents are unrelated.


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