Wonder What Open Outcry Trading Was Like?
- Posted by Jeff Carter
- on July 30th, 2013
This is exactly where I worked from 1986-2003. From 2003-2010, I was in the Hog pit. In the first few minutes of the video, they show the part of the pit that I plied my trade in. There was nothing more exhilarating, and it was a crazy way to make a living. Some of my closest friends are from here. I’d trust them with my life. It was treacherous, and raw unbridled capitalism.
This is Part Two. You can see the cattle pit has a different vibe from the Eurodollar pit. Every pit had its own vibe. Japanese Yen wasn’t like British Pound, but similar.
This is a pretty good view of classic open outcry. RLAS is a spreader, and one of the nicest people you would ever want to meet.
The next part of the video is the Arb class LaMont Brown and Romey Bracey used to teach. I took it. They taught me. I remember practicing in front of a mirror.
At 7:46, they profile trader Leslie Henner. She was one of the largest ($GE_F) Eurodollar traders in the world. Her brother Bob traded in the Hogs ($HE_F) and their father was a trader in the Pork Bellies.
At around 12:40, you see a young me talking with Leslie and Leo Melamed about adding some space in the futures pit. Adding inches was controversial. Leslie and I were on the ($CME) CME Board of Directors at the time.
At around 14:40 my friend Jack Boudroujian let’s you know what it’s like to run a desk, deal with a broker, and an irate customer on the other end of the line.
Part three shows more of the option pit. The African American guy is Tony Norman. Badge was IAM. He played football at Grambling and is getting his MBA at the Booth Graduate School of Business right now.
In the video below, they show the Eurodollar Option pit. It’s where I started my career as a clerk for Norman Seltzer. At 16:00, one of my all time greatest friends Tony Fasano makes an appearance. He and I broke into the business in this pit back in 1986.
Leo talks about trading in Part 4. You can see more of Tony in action. Trading was a very personal business. A people business.
Seems like so long ago, yet to this day every time I wake up in the morning I have an urge to go to the floor, put my jacket on and go to work. The floor is never coming back, and in some ways that’s too bad.
When they talk about putting transaction taxes on trading, these are the faces of the people that will pay. It’s harder to tax people, much easier to tax faceless screens. We weren’t bankers. We competed against the banks. Independent contractors. No different than a plumber, a carpenter, a lawyer. Taking risk with our own money and hoping to earn a buck.
thanks for the link Instapundit
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Jeffrey Carter is an angel investor and independent trader. He specializes in turning concepts into profits. He co-founded Hyde Park Angels one of the most active angel groups in the United States in April of 2007. He previously served on the Chicago Mercantile Exchange Board of Directors. He has done market commentary for (More...)