What is New York Stock Exchange (NYSE)

New York Stock Exchange (NYSE):

• The New York stock market is an American stock market. It’s also called as NYSE.
• NYSE is located at 11 Wall Street, Lower Manhattan, New York City.
• NYSE is that the world's largest stock exchange by market capitalization.
• NYSE became a public entity in 2005.
• NYSE’s total market capitalization is $22.9 trillion as of February 2019.
• Over 2400 companies are publicly listed on NYSE.

NYSE has its some own indices.

1. NYSE Composite index
2. Dow Jones Industrial Average
3. S&P 500

NYSE Composite index is the main index of the New York Stock Exchange.

History of the New York Stock Exchange:

The NYSE was established on 17 May 1792 when 24 stockbrokers signed the Buttonwood Agreement on Wall Street in New York City. Famously, they met beneath a Buttonwood tree and formed a centralized exchanged for the bargaining securities market in the United States. The agreement eliminated, the necessity for auctioneers used frequently for wheat, tobacco, and other commodities and set a commission rate. This organization made the Tontine Coffee House its headquarters and its main focused on government bonds.

After 25 years on, 8 March 1817, the organization officially became the New York Stock & Exchange Board, later it’s called New York Stock Exchange. In the 1800s, the NYSE expanded beyond bank stocks and government bonds.

New York Stock Exchange’s location changed several times before settling into its present location at 11 Wall Street in 1865. In 1978 the Neo-Classical building was registered as a Historic Landmark.

Telephones were installed, through this technique giving investors direct access to brokers on the floor of the exchange in 1878. The increased activity made the number of members to 1,060, seats for which required purchase from retiring members.

Between the end of world war and the late 1800s, the NYSE struggled in the wake of international turmoil. Then the stock market crashed 23 October 1929, causing an 89% drop in share prices. On 19 October 1987, the Dow Jones Industrial Average dropped almost 508 points, it is the biggest crash since 1929.

Trading Hour:

The NYSE is open for trading Monday to Friday from 9:30 AM to 4:00 PM On USA timing. 

The stock exchange is closed on all federal holidays. When federal holidays fall on a Saturday, the NYSE is closed the preceding Friday and when the federal holiday falls on a Sunday, the NYSE may be closed the following Monday.

The opening bell is rung at 9:30 AM and at 4:00 PM on USA timing the closing bell is rung to closing trading for that day.

In the late 1800s, the original signal for opening and closing trading was gavel. The bell became the official signal for the NYSE in 1903.

NYSE Composite Index:

• In the mid of 1960s, the NYSE Composite Index (NYSE: NYA) was created.
• The base value of NYSE was 50 points and it’s equal to the 1965 yearly close.
• This was done to reflect the value of all stocks trading at the New York Stock exchange instead of just the 30 stocks included in the Dow Jones Industrial Average.
• To raise the profile of the composite index, in 2003, the NYSE set its composite index’s new base value of 5,000 points and it’s equal to the 2002 yearly close.
• On 29 May 2020, its value is 11802.94.
• Over 2000 stocks are covered in the NYSE composite index, of which over 1600 companies are from the USA and 360 are foreign listing.

The NYSE Composite indexes yearly performance is shown in the below table.

No	Year	Change
1	2000	1.01%
2	2001	−10.21%
3	2002	−19.83%
4	2003	29.28%
5	2004	12.16%
6	2005	6.95%
7	2006	17.86%
8	2007	6.58%
9	2008	−40.89%
10	2009	24.80%
11	2010	10.84%
12	2011	−6.11%
13	2012	12.93%
14	2013	23.18%
15	2014	4.22%
16	2015	−6.42%
17	2016	9.01%
18	2017	14.83%
19	2018	−11.85%

Dow Jones Industrial Average:

• The Dow Jones Industrial Average (DJIA) is first published in The Wall Street Journal in 1896.
• The DJIA is one of the oldest and well-known and most frequently used indexes in the world.
• The DJIA includes only the 30 stocks of the largest and most influential companies in the USA.
• Generally, the DJIA has known for its listing of the U.S. markets best blue-chip companies with regularly consistent dividends.

No	Company	Ticker	Sector
1	International Business Machines Corp.	IBM	Computer Services
2	Exxon Mobil Corp.	XOM	Integrated Oil & Gas
3	Chevron Corp.	CVX	Integrated Oil & Gas
4	Procter & Gamble Co.	PG	Nondurable Household Products
5	3M Co.	MMM	Diversified Industrials
6	Johnson & Johnson	JNJ	Pharmaceuticals
7	McDonald's Corp.	MCD	Restaurants & Bars
8	Wal-Mart Stores Inc.	WMT	Broadline Retailers
9	United Technologies Corp.	UTX	Aerospace
10	Coca-Cola Co.	KO	Soft Drinks
11	Boeing Co.	BA	Aerospace
12	Caterpillar Inc.	CAT	Commercial Vehicles & Trucks
13	JPMorgan Chase & Co.	JPM	Banks
14	Hewlett-Packard Co.	HPQ	Computer Hardware
15	Verizon Communications Inc.	VZ	Fixed Line Telecommunications
16	AT&T Inc.	T	Fixed Line Telecommunications
17	Kraft Foods Inc.	KFT	Food Products
18	E.I. DuPont de Nemours &   Co.	DD	Commodity Chemicals
19	Merck & Co. Inc.	MRK	Pharmaceuticals
20	Walt Disney Co.	DIS	Broadcasting & Entertainment
21	Home Depot Inc.	HD	Home Improvement Retailers
22	Microsoft Corp.	MSFT	Software
23	American Express Co.	AXP	Consumer Finance
24	Bank of America Corp.	BAC	Banks
25	Pfizer Inc.	PFE	Pharmaceuticals
26	General Electric Co.	GE	Diversified Industrials
27	Intel Corp.	INTC	Semiconductors
28	Alcoa Inc.	AA	Aluminum
29	Citigroup Inc.	C	Banks
30	General Motors Corp.	GM	Automobiles

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