What happened to the financial markets in the 1970’s when the power went out? Answer: Nothing! The Markets kept moving and brokers kept trading. It of course did lead to excellent arbitrage opportunities.
Episode 3 of Tales from the Trading Desk brings an excited conversation between Dick Matthews and Blake Morrow. Dick and Blake discuss in detail how technology and algorithms impacted the financial markets. Dick provides a great story of when the power used to go out and him and his colleagues would trade with pen and paper by candle light.