The SEC has already proposed a number ofchanges designed to address their growing influence, including extra restrictions on broker-dealers that provide direct market access to high frequency traders, a trader tracking system for large traders, circuit breakers that would slow trading in individual stocks if they fall more than 10%, and new rules for off-exchange trading venues.
And he committed himself in the coming weeks to taking steps that use the power of his office to help try to bring about changes that will address this problem, recognizing the complexity of the problem and the obstacles to potential solutions to the problem.