NEW YORK (TheStreet) -- Barclays (BCS) trading activity has declined in the U.S. share trading venue after New York Attorney General Eric Schneiderman accused the bank of misleading its customers and giving an unfair edge to high-speed traders, Reuters reports.
Volume in Barclays' "dark pool" electronic trading venue has fallen off by 79% in the week and a half after the attorney general filed a lawsuit against the bank, according to data from the Wall Street's self-funded regulator FINRA.
The number of shares traded in Barclays LX, an alternative trading system, was down 66% in the week of June 30, and that came after a 37% decline in the week the investigation was announced.
Many clients had stopped trading equities with Barclays in the wake of the damaging allegations, or had changed how they trade, industry sources said, adding that had occurred in Asia and Europe as well as the U.S., Reuters said.Shares of Barclays are flat this afternoon. Must Read: Warren Buffett's 25 Favorite Growth Stocks