Learn about the fascinating tradition of the bell ringing at the Stock Exchanges

2024-09-02 09:22:31

The ringing of the bell on the stock exchanges is a historical tradition.

He sound of a bell marks the beginning and end of trading on the world’s major stock exchanges.

This tradition, known as the ‘bell ringing‘, has historical roots and symbolizes transparency and order in financial markets.

The origin of the ‘bell ringing’

The bell has its origins in the New York Stock Exchange (NYSE)), located in Wall Street and founded in 1792. In its early days, the stockbrokers gathered under a tree to conduct their transactions. Over time, the bell was introduced as a means of indicate the beginning and the end of the stock market operationsToday, the NYSE remains maintaining this traditionwith prominent personalities and company executives Ringing the bell at special events.

The ‘bell’ in other stock markets of the world

This tradition is not only maintained in New York. In the London Stock Exchange (LSE)the bell is also used to mark significant events, although its daily use is not as prominent as on the NYSE. In Tokyo, the Tokyo Stock Exchange (TSE) uses a gong (musical instrument) to mark the start and end of the market, a cultural adaptation of the Western ‘bell’ ring.

The Mexican Stock Exchange (BMV) has also adopted this practice, where the ringing of the bell is used to celebrate new initial public offerings and other important events. Similarly, in Brazil, the Sao Paulo Stock Exchange (B3) uses the bell for crucial events, adding a touch festive to the financial environment.

In Ecuador, the Stock Exchanges of Quito and Guayaquil They also play bells ringing to announce the availability of a company’s shares or bonds for purchase or sale in the financial market. Only the Quito Stock Exchange has celebrated 132 bell rings since 2019. This year alone, 2024 has seen its traditional bell ring nine times.

The meaning and evolution

The bell not only signals the beginning and end of the trading day, but has also become a symbol of transparency in financial markets. Despite the advancement of technology and automation of stock market transactions, the bell remains relevant, serving as a reminder of the history and traditions that underpin the global financial system.

In addition, the bell has evolved to be more inclusive and representative. Newcomers, charities and prominent figures from various fields are invited to ring the bell, reflecting the diversity and breadth of the stock market’s impact on society.

By: EL COMERCIO