Black Monday: A Historic Stock Market Crash
October 19, 1987: A Day to Remember
Black Monday, October 19, 1987, is a day etched in the annals of financial history as one of the most catastrophic stock market crashes in history. On that fateful day, global stock exchanges experienced an unprecedented plunge, with the Dow Jones Industrial Average (DJIA) losing a staggering 22.61%, its largest single-day percentage drop ever.
The Collapse Begins
The crash began in Hong Kong and spread like wildfire across the globe. In New York, the opening bell of the New York Stock Exchange (NYSE) was met with a wave of sell orders that sent shockwaves through the financial community. By the end of the trading day, the DJIA had lost over 500 points, a loss that would take years to recoup.
The causes of Black Monday are complex and multifaceted, but some factors that have been cited include a buildup of asset bubbles, excessive speculation, and a lack of regulation in the financial markets. The crash had a profound impact on the global economy, leading to a loss of confidence in the markets and a wave of economic recession.
Comments