Wall Street, also known as the Dow, or the NYSE, is located in New York.
So do you think Wall Street is the Address (or is it?)
Many people think of Wall Street and the Stock Market as one in the same, and indeed, it used to be that way.
Dutch settlers initially built a stockade here in 1653 for defense purposes. The stockade was torn down in 1685 and a street was built called Wall Street. In 1790 the first Stock Exchange was founded in Philadelphia which became the model for the New York Stock Exchange (NYSE).
NYSE was officially opened in 1817 and was moderately successful till the early 1900’s when the market entered a boom period which lasted more or less until 1929.
This boom period of course could not last forever, things were so out of kilter that people were mortgaging their homes and leveraging themselves to the limit to buy shares. The boom period crashed in 1929 and caused the Great Depression.
The 1929 Crash also known as the Great Crash, occurred on Thursday, October 24, 1929, but the catastrophic downturn of Monday (known as Black Monday), October 28 and Tuesday (known as Black Tuesday), October 29 precipitated widespread alarm.
On Black Tuesday, a record of 16.4 million shares were traded and the ticker tape fell behind two and a half hours. On Monday, the stock market suffered a record one-day loss of around 13%. On Black Tuesday, the market suffered a loss of about 12% and did not recover for 22 years.
Many people think of Wall Street and the Stock Market as one in the same, and indeed, it used to be that way.
Dutch settlers initially built a stockade here in 1653 for defense purposes. The stockade was torn down in 1685 and a street was built called Wall Street. In 1790 the first Stock Exchange was founded in Philadelphia which became the model for the New York Stock Exchange (NYSE).
NYSE was officially opened in 1817 and was moderately successful till the early 1900’s when the market entered a boom period which lasted more or less until 1929.
This boom period of course could not last forever, things were so out of kilter that people were mortgaging their homes and leveraging themselves to the limit to buy shares. The boom period crashed in 1929 and caused the Great Depression.
The 1929 Crash also known as the Great Crash, occurred on Thursday, October 24, 1929, but the catastrophic downturn of Monday (known as Black Monday), October 28 and Tuesday (known as Black Tuesday), October 29 precipitated widespread alarm.
On Black Tuesday, a record of 16.4 million shares were traded and the ticker tape fell behind two and a half hours. On Monday, the stock market suffered a record one-day loss of around 13%. On Black Tuesday, the market suffered a loss of about 12% and did not recover for 22 years.
“Anyone who bought stocks in mid-1929 and held onto them saw most of his or her adult life pass by before getting back to even”- Richard M. Salsman
The economy eventually recovered from its catastrophic losses but the unregulated Stock Market practices that had partially caused the crash in the 1929 still existed and caused the stock market crash of 1987, which saw the Dow Jones suffer what was the largest single-day loss in the stock market’s history.
"These are days when many are discouraged. In the 93 years of my life, depressions have come and gone. Prosperity has always returned and will again."- John D. Rockefeller on the Depression in 1933
Today’s Stock Market
Today’s stock market consists of computers all networked with dealers for the NYSE or market makers for the NASDAQ.
The 2 most important stock market networks are the NYSE and Nasdaq.
Nasdaq is a relatively new Stock Trading System that has been computerized since its inception, where market makers normally lead trades.
The difference between the NYSE and Nasdaq is in the way securities on the exchanges are transacted between buyers and sellers.
The Nasdaq is a dealer’s market, wherein market participants are not buying from and selling to one another but to and from a dealer, which, in the case of the Nasdaq, is a market maker.
The NYSE is an auction market, wherein individuals are typically buying and selling to each other and there is an auction happening; the highest bidding price will be matched with the lowest asking price.All these computers are linked to computers worldwide. These computers can be found in banks, small businesses, and large corporations.
Today’s Stock Market
Today’s stock market consists of computers all networked with dealers for the NYSE or market makers for the NASDAQ.
The 2 most important stock market networks are the NYSE and Nasdaq.
Nasdaq is a relatively new Stock Trading System that has been computerized since its inception, where market makers normally lead trades.
The difference between the NYSE and Nasdaq is in the way securities on the exchanges are transacted between buyers and sellers.
The Nasdaq is a dealer’s market, wherein market participants are not buying from and selling to one another but to and from a dealer, which, in the case of the Nasdaq, is a market maker.
The NYSE is an auction market, wherein individuals are typically buying and selling to each other and there is an auction happening; the highest bidding price will be matched with the lowest asking price.All these computers are linked to computers worldwide. These computers can be found in banks, small businesses, and large corporations.
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