History of the Stock Market

During the 2nd half of the 19th century New York City became the central financial center of the United States. After that the New York Stock Exchange became the number one trading center. The reason for this being that its members focused on buying securities of larger corporations. At that time all the smaller stocks of smaller companies were handled on the streets of downtown New York City. In 1908 these brokers formed the New York Curb Agency which is now known as the American Stock Exchange. It was renamed to this in 1953.

It started in the 1920s when the United States stock market went through rapid expansion

It all started in the summer of 1929, when many items were going unsold and general spending rates decreased heavily. Millions of shares were traded, throwing Wall Street into a frenzy. In October of that same

Street to buy and exchange stocks. The stock market grew so popular, it was featured on the front pages of

Here, in the United States, finance can be broken up into many sections. In the late 1800’s and early 1900’s these sections included Railroad, Public Utility, and Industrial Finance. The United States had started a revolution of innovation in this ti,e period with the emergence of railroads. As the industry grew, companies started seeing the possibility of railroads spreading from coast to coast rather than local transportation. “Railroads’ relatively small demand for capital was met without bond issues and did not require the integration of the local secutires markets.”(18) They found that a more broad security market was in their favor in the New York Stock Exchange (NYSE). In 1887, the Interstae Commerce Act was a response to the fear of

In 1929, the stock market was one of the most horrible days in the Wall Street history of the United States. Many called Black Tuesday the day that the market declined thirteen percent; others say it was a great stock market crash. Even when historians mention that the big Crash was not, the reason for the Great Depression they say that the cause was the Stock Market itself. Everything started in October 24, 1929 was the day the investors lose millions of dollars, in shares in a single day. This caused this manufacturing world to go down, soon after the Great Depression one of the major and one the last the longest exactly ten years from 1929 to 1939. What was the cause for this to happen history mentioned, that the market was

Leather preferred, and U.S. Rubber) These are all industrial firms, that is why it is referred to as the Dow Jones Industrial Average. When it was first published, its price was at a mere 62.76. The Dow Jones hit a low in the Summer of 1896 when it hit a price of 28.48 causing what would be known as the Panic of 1896. Which was a short lived economic depression caused by a drop-in silver reserves this along with deflation in the cost of commodities sent the stock market prices tumbling down. There were many economic panics such as this one in the early 1900’s which really stunted the growth of the Dow Jones early on. Because of this on July 30th, 1914 the New York Stock Exchange (NYSE) was shut down for four and a half months in fear that the onset of World War I would send the stock market into a cynical downward

The Dow is known as the best index of stocks in the United States. The Dow is a price-weighted mean of 30 commonly used stocked traded on the New York Stock Exchange. The Dow, is known as a barometer that shows how shares involved in the largest US companies are doing (“Definition of ‘Dow Jones Industrial Average’”). The Dow Jones Industrial Average is abbreviated as DJIA, and originated from Charles Dow in the year of 1896. The system started with only 11 stocks and later grew into the market that is today (“Dow Jones Industrial Average – DJIA). The Dow is a price-weighted standard of traded blue chip stocks. Wall Street Journal chooses which 30 stocks belong in the Dow, which is a ritual that started at the birth of the Dow. It uses

Wall Street is an extremely useful tool for the American economy. It helps those who are in the lower part of the social ladder by giving them a chance to climb the ladder of economic opportunity. Wall Street also helps boost other industries within America, thereby making it vital for the American economy. As Wall Street is one of the most important financial institutions in the world and provides more positive aspects for the economy than negative ones.

The open market in the United States allows for many individuals and businesses to develop and grow their capital so long as financial regulation is handled properly. Proper regulation of loans allows for reasonable restriction towards speculation and encourages business expansion. When regulation is loosely held the economy suffers from misrepresentation of loans and broker ignorance. This can be represented through the New York Stock Exchange crash of 1929, which holds many similarities to the events leading to and after the United States subprime mortgage crisis. Increased popularity of on-margin loans almost directly correlate to the subprime mortgages that were made widely available in the first decade of the twenty first century. Brokers and loan originators, who fabricated on-margin and subprime mortgage loans, increased country-wide economic risk by encouraging individuals to accept monetary burdens they could not possibly afford. Also, as individuals continued to purchase on credit, a market economic bubble was formed. Once this bubble popped the Dow Jones, what individuals typically look to for market value, suffered a massive decrease in values. Each market crash displayed these occurrences, which can be correlated to one another.

The New York Stock Exchange was formed in 1792, and the first Corporation stock to be traded on the NYSE was The Bank of New York.

The Stock Market is an organized market for the trading of stocks and bonds. In Europe a stock exchange is often called a bourse. Stock exchanges exist in all-important financial centers of the world. Members of an exchange buy and sell for themselves or for others, charging commissions. A stock may be traded only if it is listed on an exchange after having met certain requirements. The New York Stock Exchange (founded 1790) is the largest in the U.S., handling more than 70% (in market value) of all transactions. The American Stock Exchange (Amex), also in New York City, and regional exchanges account for the remainder. Unlisted shares, often of smaller companies, are traded in the growing over-the-counter

     The New York Stock Exchange traces its origin back 200 years. Centuries of growth and innovation the NYSE remains the world’s foremost securities marketplace. Over the years its commitment to investors has been unwavering and its persistent application of the latest technology has allowed it to maintain a level of market quality and service that is unparalleled. The NYSE has grown to become the global marketplace of today.

In the book The Telegraph in America, 1832-1920 written by David Hochfelder, he references a statement made by Edmund Clarence Stedman, saying that, the use of the stock exchange demonstrated the importance and purpose of the New York Exchange’s relations with the rest of the United States and also with the rest of the world . It is the basis for the economy and in some states within the US you are required to learn about it by taking a class on economics in order to graduate high school. Hochfelder also talks about how some people, and more specifically, William Briggs abandoned his semaphore lines when telegraph lines were set up between Philadelphia and New York . The reasoning behind the shift from semaphore was for one of the biggest reasons because “the electromagnetic telegraph not only outpaced [the] optical system but…rendered financial information public, available to anyone willing to pay for a message. ” Before the time of the ticker, the telegraph had to have been created and they had to develop this machine that would soon assist in the creation of the stock market before they could refine and expand into other technologies. The United States was not the only country that was developing a telegraph, there were others that were attempting one, not because of a war or reasons of that general denomination, but for the sake of communication and consumerism. The British were the first to attempt long range telegraphy

The New York Stock Exchange, the oldest and largest stock market, was founded in 1792. The major objective of the NYSE is establishing a place where peoples can trade their bonds, stocks and other investments (Fuentes, 2016). In the beginning, the stock exchange was established as a group of traders that turned into an unincorporated membership, before becoming a for-profit organization (Waverly, 2016). NYSE is considered not only the largest stock exchange in terms of how many dollars flow through it every day, but also a haven to various enterprises across the world (Fuentes, 2016). Currently, its worldwide capitalization is USD 21 trillion (Kiersz, 2014).