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(Image Source: Bloomberg)
BY GEORGE DUMONTIER ANCHOR LAUREN GORES
The New York Stock Exchange remained closed Tuesday due to Hurricane Sandy-- its longest
closure in more than a century. This is the first shutdown for two consecutive days since
a blizzard in 1888. Fox Business’s Charlie Gasparino wonders if it’s necessary.
“New York Stock Exchange is an electronic exchange. It is located in Chicago. It’s
known as Archipelago.” “These things can run. The question is why
didn’t they?” The building itself hasn’t been damaged,
but the storm has left it empty. The New York Stock Exchange could open online, but Bloomberg
says major banks and other big players in the market aren’t ready.
“They have problems getting all of their employees in when the market is open. It’s
possible that they’ll call the NYSE and say listen It’d be better for everybody
if all trading was closed. That’s why the security industry has recommended all exchanges
close today.” This halt in trading could lead to pent-up
demand for traders, but a strategist for Standard and Poor’s told the New York Times, the
effects won’t last long. “History says that hurricanes typically
don’t trigger market declines … Equities are more likely driven by wider-reaching global
events than localized natural disasters.” The New York Stock Exchange and Nasdaq plan
to reopen Wednesday.