being the hot topic of the day.
Certainly is practiced on electronic futures exchanges.
Seems to me that net impact on price movement would be to accentuate swings- if somebody can bait an order out, pull it and then frontrun you it would seem to just be an additional push in the direction of trend.
Bottom line, it is a huge pot of money (although nowhere near the size of the equity pot) and if somebody skms a few $billion off, does it matter? In my opinion, it matters as a matter of principle more than of money. Market integrity should be protected foremost.
Just interested, are there any commercial traders of sufficient size out there who have experienced seeing a block offered and then a split fill with the balance then moved on you?