How does the stock exchange trading floor work?

Question

In movies the bell rings, and all those people start shouting and waving scraps of paper.
So how does it really work? What’s all the shouting about? And how does all the noise translate into a viable way to do business?

In: Economics

Answer 1

It’s no longer done that way, trading is electronic. But when it was done that way, you had a person using yelling and hand gestures to indicate how much they wanted to sell and at what price of what stock. Another person would indicate their desire to buy.