New York Stock Exchange
|New York Stock Exchange (NYSE)|
|Headquarters||New York, NY|
|Key People||Thomas Farley, President|
The New York Stock Exchange is one of the world's largest stock exchanges and is often referred to as the "Big Board."
The exchange, acquired by the IntercontinentalExchange in November 2013, along with NYSE's complementary stock and options markets, lists more than 2,400 companies who comprise a collective market cap of $26 trillion.
The New York Stock Exchange traces its origins to 1792, when 24 New York City stockbrokers and merchants signed what was known as the Buttonwood Agreement, forged under a Buttonwood tree, agreeing to trade securities on a commission basis.  They began by trading five securities: three government bonds and two banks stocks.
These early New York brokers eventually established a formal organization, called the New York Stock & Exchange Board ("NYS&EB") in 1817. They rented rooms at 40 Wall street and adopted a constitution with rules for business conduct. The organization became the New York Stock Exchange in 1863.
The NYS&EB moved to temporary headquarters in 1835 after a fire destroyed more than 700 buildings in lower Manhattan.
In 1857, panic hit the markets after the collapse of the Ohio Life Insurance & Trust Company. Stock prices dropped 8 to 10% during a single trading session. As a result of the "Panic of 1857", stock prices slumped 45% since the first of the year.
Following the outbreak of the Civil War in 1861, the NYS&EB suspended trading in securities of the seceding Southern states.
In 1865 the New York Stock Exchange moved to 10-12 Broad Street, just south of Wall Street. That same year the exchange closed for a week following the assassination of U.S. President Abraham Lincoln.
In 1868, membership at the NYSE became a property right and members could sell their seats. Throughout the exchange's history, membership prices have varied widely: In 1871, a seat sold for $2,780, and in December 2005 a membership sold for a record $4 million.
On Black Friday in 1869 the market fell as a result of speculation in gold.
In 1873, the NYSE closed for 10 days as a result of severe financial panic following the bankruptcy of Jay Cooke & Company, a prominent Philadelphia banking firm.
The Panic of 1907 was triggered by rumors of financial problems at Knickerbocker Trust, a leading New York bank. This triggered a run on banks throughout New York City. This was America's most severe financial crisis to date and it was J.P. Morgan, Sr. who orchestrated a plan to infuse banks with cash and shore up the stock market.
As a result of an outbreak of World War I, the NYSE closed for 4 1/2 months following other securities exchanges around the world. The NYSE shut its doors on July 31, 1914 and was closed for the longest period in exchange history.
In 1929, stock prices fell sharply on October 24 with record volumes. Five days later the market crashed with a new record of 16 million shares traded. October 19, 1929 came to be called "Black Tuesday" and led to the Great Depression.
In 1939, NYSE hires its firm full-time salaried president, William McChesney Martin, Jr.
The war year of 1943 saw women working on the NYSE's trading floor for the first time, ending the tradition of men only.
On November 22, 1963 the exchange closed early to prevent panic selling after the assassination of U.S. President John F. Kennedy.
In 1971, the NYSE incorporated itself as a not-for-profit company.
In 1987, the stock market crashed 508 points, the largest one-day drop in the exchange's history. Volume was an unprecedented 604 million shares traded. This is referred to as the Market crash of 1987 or Black Monday.
On September 11, 2001, terrorist attacks destroyed the World Trade Center. The NYSE closed for four days -- its longest closure since 1933 -- and reopened on September 17, setting a volume record of 2.37 billion shares.
It merged with Euronext N.V. in 2007 to create NYSE Euronext. NYSE Euronext was bought by its former rival the InterContinentalExchange (ICE) in 2013 and in 2014 Euronext was spun off through an IPO. 
- The exchange was first organized on May 17, 1792.
- It was incorporated on Feb. 18, 1971, as the New York Stock Exchange, Inc., a not-for-profit corporation.
- It was established as a for-profit corporation, the NYSE Group, March 7, 2006.
- It announced an agreement to combine NYSE and Euronext to "redefine the marketplace for trading cash and derivatives securities, producing significant benefits for shareholders, issuers and users," on June 1, 2006.
- The creation of NYSE Euronext occurred on Apr. 4, 2007.
- The NYSE was purchased in November 2013 by the Intercontinental Exchange.
NYSE Firsts and Records
- First member firm to go public: Donaldson, Lufkin & Jenrette, 1970
- First member firm to be listed on the NYSE: Merrill Lynch, 1971
- Highest price paid for a membership: $4 million on December 2005
- Lowest price paid for a membership: $2,750 in 1871
- First listed company: Bank of New York, traded under the Buttonwood Tree, 1792
- Longest listed company: Con Edison, listed in 1824 as the New York Gas Light Company
- Oldest listed company: Sotheby's, founded 1744; listed 1990
NYSE Volume Market Highlights
Daily share volume (first day over):
- 1 million - 1886
- 5 million - 1928
- 10 million - 1929 (It took one year to double share volume, and another 49 to quintuple it.)
- 50 million - 1978
- 100 million - 1982
- 500 million - 1987 (It took only five years to quintuple share volume, culminating in the stock market crash of Oct. 19, 1987 - the crash was actually fairly short lived compared to the "furor" it caused.)
- 1 billion - 1997 (It took another 10 years to double share volume.)
- 2 billion - 2001
- 3 billion - 2005
- 4 billion - 2007
- 5 billion - 2007
NYSE Highs And Lows
- 5,799,792,281 shares on Aug. 16, 2007; lowest volume day: 31 shares on March 16, 1830
- Dow Jones Industrial Average biggest single-day jump: 499.19 points, March 16, 2000
- Dow Jones Industrial Average biggest single-day drop: 684.81 points, Sept. 17, 2001
Products and Services
On May 18, 2015, the NYSE launched a bitcoin index, formally called the NYSE Bitcoin Index (NYXBT). It is the first such index produced by a major exchange. Bloomberg had been providing bitcoin prices quotes since 2014, and various bitcoin exchanges provide their own quotes, as do news sites such as CoinDesk. The index will be made available through NYSE's Global Index Feed and will be free on its website for a limited time. It is intended to serve as a definitive benchmark for valuing the currency.
- Thomas Farley, President
- Jeffrey Sprecher, Chairman
- Marshall Carter, Deputy Chairman
- Dominique Cerutti, President & Deputy Chief Executive Officer
- Garvis Toler, III, Global Head of Capital Markets
- Stacey Cunningham, Chief Operating Officer