Biggest crashes in the history of the stock market

1. Biggest crashes in the history

2. of the stock market

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4. 1. These crashes highlight the susceptibility of financial markets to various economic and geopolitical factors, impacting investors and the broader global economy.

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5. The Great Depression (1929): The Wall Street Crash of 1929 marked the onset of the Great Depression. Triggered by over-speculation and excessive borrowing, the market collapsed on October 29, 1929. Stock prices plummeted, wiping out wealth and leading to a severe economic downturn worldwide.

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7. Black Monday (1987): On October 19, 1987, global stock markets experienced a dramatic crash known as Black Monday. Fueled by concerns over trade imbalances and rising interest rates, the Dow Jones Industrial Average plunged by a staggering 22%. This event remains one of the most significant single-day market declines.

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9. Dot-Com Bubble Burst (2000): The late 1990s saw a surge in technology-related stocks, leading to the dot-com bubble. In 2000, the bubble burst as many internet-based companies faced bankruptcy. Investors faced substantial losses as stock values collapsed, impacting the global economy.

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11. Global Financial Crisis (2008): The collapse of Lehman Brothers in 2008 triggered a worldwide financial crisis. Resulting from subprime mortgage defaults, the crisis led to a severe credit crunch, bank failures, and a global recession. Stock markets experienced significant declines, and governments intervened to stabilize the financial system.

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13. Flash Crash (2010): On May 6, 2010, a sudden and severe market decline occurred, known as the Flash Crash. High-frequency trading, combined with economic uncertainties, caused the Dow Jones to drop nearly 1,000 points within minutes. The market recovered, but the event highlighted vulnerabilities in automated trading systems.

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15. European Debt Crisis (2011): The European Debt Crisis, triggered by concerns over the debt levels of several European countries, led to increased market volatility. Stock markets faced declines amid fears of a possible Eurozone breakup. Governments and central banks implemented measures to stabilize the situation.

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17. COVID-19 Pandemic Crash (2020): The global financial markets experienced significant turbulence in early 2020 due to the COVID-19 pandemic. Fear of economic contraction and uncertainty led to a rapid sell-off. Stock markets, including the Dow Jones and S&P 500, faced steep declines, prompting central banks to implement emergency measures.

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