The Shanghai Stock Exchange, is a stock exchange that is based in the city of Shanghai, China. It is one of the two stock exchanges operating independently in the Peoples Republic of China, the other being the Shenzhen Stock Exchange. Shanghai Stock Exchange is the worlds 5th largest stock market by market capitalization at US$3.5 trillion as of February 2016, the current exchange was re-established on November 26,1990 after a 41-year hiatus and was in operation on December 19 of the same year. It is a non-profit organization directly administered by the China Securities Regulatory Commission, the formation of the International Settlement in Shanghai was the result of the Treaty of Nanking of 1842 and subsequent agreements between the Chinese and foreign governments. The Shanghai International Settlement was crucial to the development of trade in China. The market for trading in Shanghai began in the late 1860s. The first shares registrar appeared in June 1866, in 1891 during the boom in mining shares, foreign businessmen founded the Shanghai Sharebrokers Association headquartered in Shanghai as Chinas first stock exchange. In 1904 the Association applied for registration in Hong Kong under the provision of the Companies ordinance and was renamed as the Shanghai Stock Exchange, the supply of securities came primarily from local companies. In the early days, banks dominated private shares but, by 1880, only the Hong Kong, later in 1920 and 1921, Shanghai Securities & Commodities Exchange and Shanghai Chinese Merchant Exchange started operation respectively. An amalgamation eventually took place in 1929, and the combined markets operated thereafter as the Shanghai Stock Exchange, rubber plantations became the staple of stock trading beginning in the second decade of the 20th century. By the 1930s, Shanghai had emerged as the center of the Far East. The operation of Shanghai Stock Exchange came to a halt after Japanese troops occupied the Shanghai International Settlement on December 8,1941. In 1946, Shanghai Stock Exchange resumed its operations before closing again 3 years later in 1949, after the Cultural Revolution ended and Deng Xiaoping rose to power, China was re-opened to the outside world in 1978. During the 1980s, Chinas securities market evolved in tandem with the economic reform and opening up. On 26 November 1990, Shanghai Stock Exchange was re-established and operations began a few weeks later on 19 December,1866 - The first share list appeared in June. 1871 - Speculative bubble burst triggered by monetary panic,1883 - Credit crisis resulted speculation in Chinese companies. 1890 - Bank crisis started from Hong Kong,1891 - Shanghai Sharebrokers Association established. 1895 - Treaty of Shimonoseki opened Chinese market to foreign investors,1904 - Renamed to Shanghai Stock Exchange
Image: Shanghai Stock Exchange Building at Pudong
The Shanghai (SSE) Composite Index: 1991 to start of 2009.