Global Microstructures: The Virtual Societies of Financial Markets

Global Microstructures: The Virtual Societies of Financial Markets

2002 | Karin Knorr Cetina, Urs Bruegger
This article examines the global social system embedded in economic transactions, particularly in interbank currency trading, using participant observation, interviews, and trading transcripts. The authors introduce the concept of "global microstructures," which refers to patterns of integration that are both globally scoped and microsocial in nature. They argue that these microstructures are constitutive of processes with global breadth, such as global financial markets. The study draws on Schutz's concept of temporal coordination to understand the level of intersubjectivity in global markets. The article contributes to economic sociology by analyzing cambist (trading) markets and proposing a form of market coordination that complements relational or network forms. The authors also discuss the institutional characteristics of these markets, including their focus on knowledge exchange, transnational nature, and the role of individual traders. Field research conducted at trading floors of globally operating investment banks in Zurich provides empirical evidence for the analysis. The article concludes by exploring the possibility of a global we relation, suggesting that reciprocal observation of markets on screens and temporal mechanisms can lead to a form of intersubjectivity and integration in global markets.This article examines the global social system embedded in economic transactions, particularly in interbank currency trading, using participant observation, interviews, and trading transcripts. The authors introduce the concept of "global microstructures," which refers to patterns of integration that are both globally scoped and microsocial in nature. They argue that these microstructures are constitutive of processes with global breadth, such as global financial markets. The study draws on Schutz's concept of temporal coordination to understand the level of intersubjectivity in global markets. The article contributes to economic sociology by analyzing cambist (trading) markets and proposing a form of market coordination that complements relational or network forms. The authors also discuss the institutional characteristics of these markets, including their focus on knowledge exchange, transnational nature, and the role of individual traders. Field research conducted at trading floors of globally operating investment banks in Zurich provides empirical evidence for the analysis. The article concludes by exploring the possibility of a global we relation, suggesting that reciprocal observation of markets on screens and temporal mechanisms can lead to a form of intersubjectivity and integration in global markets.
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[slides and audio] Global Microstructures%3A The Virtual Societies of Financial Markets1