TAPE

A versatile term used in various contexts, referring to the service that reports prices and transactions on exchanges, a news wire service, or a magnetic computer storage medium.

Definition

TAPE refers to multiple services and mediums, including:

  1. Service that reports prices and size of transactions on major exchanges: This is often called “ticker tape,” owing to the sound made by the historical ticker machines that printed the data on a continuous tape before these transactions were reported electronically.

  2. Newswire services from providers like Dow Jones: These services distribute financial news and other information to subscribers, including media outlets and financial institutions.

  3. Magnetic computer storage medium: Tape is also a type of magnetic storage used for backing up large amounts of data. It’s known for its durability and cost-effectiveness in storing voluminous data, particularly in archival settings.

Examples

  • Stock Market Ticker Tape: A constant stream of data reporting the prices and volume of trades occurring on stock exchanges, displayed electronically.

  • Dow Jones News Wire: A real-time news service providing updates on financial markets, economy, and other business news.

  • Magnetic Data Tape: Used by organizations to archive important data, often seen in large data centers where long-term data storage is necessary.

Frequently Asked Questions (FAQs)

What is a ticker tape in the stock market?

Ticker tape in the stock market is a service that provides a continuous display of stock prices and transaction sizes. Historically, information was printed on a long, narrow strip of paper, making a ticking noise as it printed.

Who uses Dow Jones news services?

Dow Jones news services are utilized by financial professionals, media outlets, and other entities interested in real-time financial news and market data.

What are the advantages of magnetic tape storage?

Magnetic tape storage is durable, cost-effective, and suitable for the long-term archival of large data volumes. It offers reliability and a good cost per byte when compared to other storage media.

Stock Exchange: A marketplace where stocks, bonds, and other securities are bought and sold.

Transactional Data: Information recorded during financial transactions, such as price, volume, and terms of trade.

News Wire: A service providing real-time news to subscribers, often including financial markets data.

Archival Storage: Long-term storage of data for future reference, often using durable media like magnetic tape.

Online References to Online Resources

Suggested Books for Further Studies

  • “The Efficient Market Hypothesis and Its Critics” by Burton G. Malkiel
  • “News and Market Impact” by Terence Barker
  • “Modern Magnetic Tape Data Storage Methodologies” by John D. Landis

Fundamentals of TAPE: Financial and Data Storage Basics Quiz

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