Each day, Benzinga takes a look back at a notable market-related moment that happened on this date.
On May 17, 1792, the signing of the Buttonwood Agreement laid the groundwork for the New York Stock Exchange.
Where Was The Market
The Dow and S&P 500 weren’t introduced for another 104 and 131 years, respectively.
What Else Was Going On In The World
The U.S. had recently created the postal service and passed the Presidential Succession Act. Across the Atlantic, the French Revolution raged.
Buttonwood Agreement Bears NYSE
Under the shade of a Wall Street buttonwood, 24 stockbrokers and merchants signed an agreement establishing a centralized securities exchange, obviating the roles of auctioneers and setting a commission rate.
Just five securities traded at the time, with the Bank of New York the first to debut.
Nearly 25 years later, the organization became the New York Stock & Exchange Board. After a series of mergers and acquisitions, the exchange is now operated by Intercontinental Exchange.
This Day In Market History: The First Modern Leveraged Buyout
This Day In Market History: CBOE Becomes First Dedicated Options Exchange