After two days of The New York Stock Exchange being closed, it is opening today after the devastating Hurricane Sandy. The subways are still down as well as the path and lines of Metro North but trading will begin at 9:30 am. ”The world is used to seeing the financial markets through the lens of the floor of New York Stock Exchange,” said Larry Leibowtiz, chief operating officer of NYSE Euronext, which operates the exchange. “It gives them a sense of comfort.” Wall Street going back to the work will not only help fund managers and investors, but it will help the economy as well, which will take a substantial hit from Hurricane Sandy and its aftermath.
The exchange said in a statement Tuesday that its building and trading floor are fully operational and that normal trading will resume at the usual starting time of 9:30 a.m. There had been false reports Monday that the exchange floor had flooded.Leibowitz expects about 100 traders and market makers on the floor today, many of them staying at nearby hotels.
This was the first time since 1888 that the NYSE remained closed for two consecutive days because of weather. The earlier shutdown was caused by a huge snow storm.
The storm could not have come at a worse time as it was a Monday and not a weekend when the markets are closed anyway. Plus. it is the end of the month which is when traders and fund managers look to stock markets for final prices to value holdings for reports they’re required to send to investors and regulators.
According to Mercury News, Wall Street experts feared that another delay because of Hurricane Sandy would have meant a dangerous back-up of customer orders to buy and sell stock. It would also just make the U.S. markets look bad and they are already not looking great. Mark Travis, president of Intrepid Capital Funds in Jacksonville Beach, Fla., told Mercury News. ”You build up pressure when you keep people out of the markets,” Travis said. “Trading volume that may normally happen in a two-day period could get compressed into an hour or two when markets reopen.”
But mostly Wall Street needs to go back to work to help the economy . The storm really scared people but knowing that the markets are open again is reassuring and will help people get started buying things again.