Yes, the online broker pricing war is still on. Fidelity Investments announced today that it is cutting its commissions for online stock trades from $8-$19.95 per trade to a flat $7.95 fee. This news comes just a month after Charles Schwab (SCHW) announced it would be cutting its own stock-trade price down to $8.95 a trade.
So if you’re looking for the absolute cheapest trading commissions, you’ll have to look elsewhere. That said, Fidelity is offering a better deal for stock traders than E*Trade and Ameritrade – and it does have the benefit of a branch network.
Nonetheless, when choosing an online broker, commissions should never be your primary focus – unless you’re moving heavy volumes.