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As far as I understand, IBM stocks are trading in New York at $141.83 currently, with 1.84m of shares traded daily(?) and some +7% change of price in the recent year: https://markets.ft.com/data/equities/tearsheet/summary?s=IBM:NYQ

In Berlin the price is 129.64 EUR, which is very close after EUR/USD exchange: https://markets.ft.com/data/equities/tearsheet/summary?s=IBM:BER

However, IBM stocks in London are trading at $118.95 (sic!), volume is ~2k, and the 1 year change in price is exactly zero: https://markets.ft.com/data/equities/tearsheet/summary?s=IBM:LSE

What is the difference between IBM:NYQ/IBM:BER and IBM:LSE? Why is the latter traded at a fixed price? Why dollars instead of pounds? As there is non-zero volume, I assume some entities still trade it, but why?

yeputons
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IBM is listed on the London Stock Exchange (LSE) but not actually traded on the LSE via a lit central order book. $118.95 is the official closing price of IBM on LSE everyday, but there aren't any actual trades on the central order book that transact at that price.

All the trades for IBM on LSE are bilaterally negotiated "off-book", "block", or "off-exchange" trades. An off exchange transaction in an exchange traded security is negotiated bilaterally, and then posted to the exchange on which the security is listed.

If you navigate to the publicly available IBM LSE trade recap you can see that all of the trades that took place today were off exchange. Off-exchange trades posted to the LSE today tie closely to where the security traded in the US , ~$141.15 VWAP.

You'll also notice that off-exchange transactions post in either GBP or USD.

IBM LSE Trade Recap

Thomas Boyd
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