Open Outcry


Open Outcry

A vanishing method of communicating on a stock, commodity or futures exchange that involves verbal bids and offers as well as hand signals to convey trading information in the trading pits. Trading pits are the parts of trading floors where trading takes place. A contract is made when one trader cries out that they want to sell at a certain price and another trader responds that they will buy at that same price. Most exchanges now use electronic trading systems, and the open outcry exchanges have gradually been replaced by electronic trading, which reduces the costs and improves trade execution speed.

Also called pit trading.

The length of the trading day differs between open outcry exchanges and those that use electronic trading such as Globex. Regular market hours typically run from 8:30 a.m. to 4:15 p.m. eastern standard time. Open outcry sessions for some commodities such as corn futures and options (CBOT) run from 9:30 a.m. to 1:15 p.m. Globex was the first global electronic trading system for futures and options, developed by the Chicago Mercantile Exchange and introduced in 1992. Electronic trading on Globex is available nearly 24 hours a day, from Sunday evening through late Friday afternoon, with a short break each day between close and reopening. This break varies from 30 to 60 minutes depending on the trading product.


Investment dictionary. . 2012.

Look at other dictionaries:

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  • open outcry — Method of public auction for making verbal bids and offers in the trading pits or rings of futures exchanges. Chicago Board of Trade glossary Oral bids and offers made in the trading rings, or pits. Open outcry is required for trading futures and …   Financial and business terms

  • open outcry — noun A trading method whereby traders gather in person, often in a pit, and call out to all their desire to buy or sell a quantity at a given price, transactions being consummated when two parties can agree on a price. Most frequently used in… …   Wiktionary

  • Open-outcry — The method of trading used at futures exchanges, typically involving calling out the specific details of a buy or sell order, so that the information is available to all traders. The New York Times Financial Glossary …   Financial and business terms

  • open-outcry — The method of trading used at futures exchanges, typically involving calling out the specific details of a buy or sell order, so that the information is available to all traders. Bloomberg Financial Dictionary A public auction method of trading… …   Financial and business terms

  • open outcry — noun a system of financial trading in which dealers shout their bids and contracts aloud …   English new terms dictionary

  • open outcry — Quoting prices, making offers, bids, and acceptances, and concluding transactions by word of mouth in a financial market, usually in a trading pit See also callover; double auction …   Big dictionary of business and management

  • open outcry — …   Useful english dictionary

  • open outcry pit — UK US noun [C] STOCK MARKET, FINANCE ► the area of floor in a financial market where people shout out their bids and offers, rather than trading over the telephone or online: »The majority of trade is done through open outcry pits with dealers… …   Financial and business terms

  • Open outcry trading — Der Präsenzhandel, Parketthandel oder Criée Handel (franz.: criée bedeutet Zuruf) ist eine Form der Kursbildung an Börsen. Gelegentlich werden auch die Bezeichnungen Ringhandel, Zurufhandel oder der englische Ausdruck open outcry trading… …   Deutsch Wikipedia


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