Presentation on theme: "Understanding the Stock Market 11.6.1 Describe the monetary issues of the late nineteenth and early twentieth centuries that gave rise to the establishment."— Presentation transcript:
Understanding the Stock Market Describe the monetary issues of the late nineteenth and early twentieth centuries that gave rise to the establishment of the Federal Reserve and the weaknesses in key sectors of the economy in the late 1920s.
Important Terms Stock Market/Stocks384 Buying on a Margin384 Interest385 Speculator385 and US Glossary The Federal Reserve237 TariffUS Glossary and 388 Bull Market/Bear Market
New York Stock Exchange
Inside the NY Stock Exchange
History of the New York Stock Exchange 1792formed by 24 stock brokers who took an oath on Wall street 1867first stock ticker 1914shuts down for 4 months due to World War I 1929Black Tuesday, October 29 th
Reading a stock market table 1.Starbucks Corp. 2.(SBUX) 3.Volume: 16,990,102 4.Last Trade: Change: (+7.92%) 6.Day's Range: Now you get to pick your own stocks!
The Federal Reserve System Created in regionseach with Federal Reserve Bank Provide safety net for banks Regulates money in circulation Sets interest rates
Hidden Economic Problems in the 1920s Americans buy goods on credit –Debt ( : personal debt doubles from 3.1 billion to 6.9 billion) Americans buy stock! –Buying on Margin Overproduction Underconsumption