by: Michael Swanson
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How much do you really know about stock market history? When most people think about the history of the stock market they automatically think about Wall Street. It is often assumed that Wall Street was the world's financial center. What most people don't realize it that Wall Street was originally named in 1644. It was a road on Manhattan Island where the Dutch built a wall in an attempt to keep the British from attacking them. It was Boston who was in charge of America's finances at this time. During this time most of your buying and selling of bonds was done through Boston dealers.

The World's first place to establish a stock market exchange was in Belgium. Schlossgarten is where Berlin traders and merchants were conducting their business in the 1600's. In 1725 London brokers were doing their business at Jonathon's. Jonathon's was a coffee house that was renamed The Stock Exchange in 1773. Finally, the United States of America organized a place where they could exchange stocks and trade bonds in 1792.

The organizing of the stock exchange but the United States was what brought about the Wall Street Stock Market. It was placed east of Broadway near the east river in New York. As time passed the surrounding neighborhood also became known as Wall Street. In 1789 Federal Hall was used for the inauguration of George Washington.Federal Hall was right across the street from Wall Street and it is also where they passed the Bill Of Rights.

In colonial days the government promised to pay back the money they needed to use to support the war. In a vain effort to raise money local banks were issuing stock from their companies. Around this time people were starting to figure out that they could place money in stocks and as long as the stock market did not crash they could make a fortune off of it.

A rapid growth hit the United States of America a couple years after the crashing of the stock market. This forced the companies to acquire more funds in hopes of supporting the new demand of people. However, it was becoming increasingly obvious that most companies would prefer to invest their money in purchasing stock. History proves that major roll that stocks have played in expansion of companies along with the Industrial Revolution.

The effect of the stock market crashing was devastating. Many people lost their jobs, their fortunes and some even lost their lives. This in turn brought on the great depression. The great depression was so severe that even businesses did not have enough credit to pay with check. It also caused them to have problems with their inventory and people that had deposited money had no choice but to sit back and watch their money disappear as their banks crashed.

Knowing about stock market history will be a benefit to you. You may even find it interesting.

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