Former New York Stock Exchange Head Says That The Stock Market Is Rigged

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Richard Grasso acted as the chairman and chief executive of the New York Stock Exchange from 1995 to 2003, and he has come out in a recent interview saying that the stock market is rigged. Considering that he spent nearly a decade at the head of the institution, he would obviously have legitimate experience to speak on.

The interview was reported by the Wall Street Journal this week and is set to appear on the television show “Wall Street Week” this Sunday.

During the interview Grasso said, “A fast market is not necessarily a fair market, as evidenced by that Monday open. Frankly, some of the things that went on that day need very close scrutiny.”

Speaking of the erratic stock activity that occurred in late August, he said that “A day like that, where Facebook’s shares go from $86 to $72 to $84 in a matter of minutes will cause the public to lose confidence in the markets.”

Grasso also spoke of how the game was rigged to create an advantage for certain players.

“Creating an advantage to an institutional user or a particular type of trader that disadvantages the retail investor is bad for the country, bad for the markets and bad for your business,” he said.

Grasso has not been absent of controversy himself, he was actually forced to step down from the NYSE back in 2003 after he was accused of embezzling millions in retirement pay from the organization.