The 1929 crash brought the Roaring Twenties to a halt.[35] As tentatively expressed by economic historian Charles P. Kindleberger, in 1929, there was no lender of last resort effectively present, which, if it had existed and been properly exercised, would have been key in shortening the business slowdown that normally follows financial crises.[32] The crash marked the beginning of widespread and long-lasting consequences for the United States. Historians still debate the question: did the 1929 Crash spark The Great Depression,[36] or did it merely coincide with the bursting of a loose credit-inspired economic bubble? Only 16% of American households were invested in the stock market within the United States during the period leading up to the depression, suggesting that the crash carried somewhat less of a weight in causing the depression.
Despite fears of a repeat of the 1930s Depression, the market rallied immediately after the crash, posting a record one-day gain of 102.27 the very next day and 186.64 points on Thursday October 22. It took only two years for the Dow to recover completely; by September 1989, the market had regained all of the value it had lost in the 1987 crash. The Dow Jones Industrial Average gained six-tenths of a percent during the calendar year 1987.
The panic began again on Black Monday (October 28), with the market closing down 12.8 percent. On Black Tuesday (October 29) more than 16 million shares were traded. The Dow Jones Industrial Average lost another 12 percent and closed at 198—a drop of 183 points in less than two months. Prime securities tumbled like the issues of bogus gold mines. General Electric fell from 396 on September 3 to 210 on October 29. American Telephone and Telegraph dropped 100 points. DuPont fell from a summer high of 217 to 80, United States Steel from 261 to 166, Delaware and Hudson from 224 to 141, and Radio Corporation of America (RCA) common stock from 505 to 26. Political and financial leaders at first affected to treat the matter as a mere spasm in the market, vying with one another in reassuring statements. President Hoover and Treasury Secretary Andrew W. Mellon led the way with optimistic predictions that business was “fundamentally sound” and that a great revival of prosperity was “just around the corner.” Although the Dow Jones Industrial Average nearly reached the 300 mark again in 1930, it sank rapidly in May 1930. Another 20 years would pass before the Dow average regained enough momentum to surpass the 200-point level.
At first, while the regulatory agencies and the United States Congress announced investigations into the crash,[16] no specific reason for the six hundred point plunge was identified. Investigators focused on a number of possible causes, including a confluence of computer-automated trades, or possibly an error by human traders. By the first weekend, regulators had discounted the possibility of trader error and focused on automated trades conducted on exchanges other than the NYSE. However, CME Group, a large futures exchange, stated that, insofar as stock index futures traded on CME Group were concerned, its investigation found no evidence for this or that high-frequency trading played a role, and in fact concluded that automated trading had contributed to market stability during the period of the crash.[17] Others speculate that an intermarket sweep order may have played a role in triggering the crash.[18]
In 1979, Atari unveiled the Atari 400 and 800 computers, built around a chipset originally meant for use in a game console, and which retailed for the same price as their respective names. In 1981, IBM introduced the IBM 5150 PC with a $1,565 base price[6] (equivalent to $4,213 in 2017), while Sinclair Research introduced its low-end ZX81 microcomputer for £70 (equivalent to £246 in 2016). By 1982, new desktop computer designs were commonly providing better color graphics and sound than game consoles and personal computer sales were booming. The TI 99/4A and the Atari 400 were both at $349 (equivalent to $885 in 2017), Radio Shack's Color Computer sold at $379 (equivalent to $961 in 2017), and Commodore International had just reduced the price of the VIC-20 to $199 (equivalent to $505 in 2017) and the 64 to $499 (equivalent to $1,265 in 2017).[7][8]
After nearly a decade of historically low interest rates and slow economic growth, the U.S. economy is picking up speed, bolstered by President Donald Trump's policies, such as tax cuts and less regulation of businesses. The economy grew 4.2 percent in the second quarter, its fastest pace in four years. And the job market is robust, with the September unemployment rate of 3.7 percent the lowest in nearly 50 years.

But if U.S. GDP growth were to falter -- let’s say dip to 1% or lower on an annual basis -- then it would be really difficult to support existing valuations for companies in the technology and biotech arenas. And since tech and biotech have played such a critical role over the past nine-plus years in pushing stocks higher, they could easily be responsible for dragging the stock market into a correction.
We have entered a time when global events appear to be accelerating significantly.  Earlier today, bombs were mailed to major political leaders all over the United States.  In the Middle East, it looks like Israel and Hamas could go to war at any moment.  And we continue to see a rise in major seismic events – including three very large earthquakes that just hit the Cascadia Subduction Zone.

What I see today as concerning has very little to do with Presidents and everything to do with global banking and Fed policy. We have put our selves in a precarious situation with QE in order to massively re-inflate stock values and home values and it has worked beautifully as we have allowed that easing to go undiminished for over 8 years since the meltdown. Now we have to see what happens as we finally attempt to reverse course.


If you could only listen to one person's advice during a stock market crash, let that person be famed investor, Warren Buffett. Not only will the Berkshire Hathaway (NYSE: BRK-B) (NYSE: BRK-A) chairman and CEO's advice serve you well, but his knack for keeping a clear head -- and even getting a bit greedy (more on that later) -- when everyone else is selling, may make his the only advice you need to navigate uncertain times.

Everyone seems to have an explanation for why stock prices rise and fall. People are happy about the economy. People are worried about the economy. People want interest rates to rise. People want interest rates to fall. Europe looks good. Europe looks bad. Canada's raising tariffs. Canada reported extraordinary growth. Company A met its earnings goals. Company B didn't. Inflation numbers looked bad. Inflation numbers looked good. Gold is hot. Silver prices fell. Oil supplies are running low—or high. Unemployment numbers changed too much or too little. Euros went up against the dollar. Who knows?
The Canadian government hasn’t come up with a plan to stop investment money fleeing to “low tax” United States.  The US economy and the US stock market and USD have all soared with Trump’s strategy. With the border blocked, there will be no reason to invest in Canada. Trudeau has refused to look at tax reductions. That has severe implications for the financial markets here.
What you can do is prepare for the next crash. In fact, regardless of how the stock market is doing today, you should be prepared for a crash – because unexpected events (black swans) can trigger one at any time. You don’t need to wait for the next stock market crash prediction to come along to learn about bear markets, how they occur, why they occur, and what you can do to avoid being wiped out. We prepared this guide for that very reason.
Yes Bank was sharply down nearly 30% on Friday after being as much as 34% down at one point of time. Volumes were sharply higher on Friday indicating some concerted institutional selling on the stock. The stock was downgraded by a slew of brokers after the RBI refused to allow Rana Kapoor to continue as the CEO of the bank after January 2018. The RBI has been quite choosy about permitting CEOs to continue and even in the case of Axis Bank the RBI had actually compelled Shikha Sharma to move on after December. This had a spill-off effect across the banking stocks as the BSE Bank index corrected as much as 3.5% in a single day.
Jump up ^ Lambert, Richard (July 19, 2008). "Crashes, Bangs & Wallops". Financial Times. Retrieved September 30, 2008. At the turn of the 20th century stock market speculation was restricted to professionals, but the 1920s saw millions of 'ordinary Americans' investing in the New York Stock Exchange. By August 1929, brokers had lent small investors more than two-thirds of the face value of the stocks they were buying on margin – more than $8.5bn was out on loan.
The second reason is that it is impossible to predict the beginning of a bull market. By sitting through the crash, you are basically ensuring that your investments are safe and rolling. History teaches us that stocks rally back to their old levels, given some time. Also, stock crashes in the last 100 years have lasted an average of just over ten months. So if waiting is an option, it would be the best one.
Other important economic barometers were also slowing or even falling by mid-1929, including car sales, house sales, and steel production. The falling commodity and industrial production may have dented even American self-confidence, and the stock market peaked on September 3 at 381.17 just after Labor Day, then started to falter after Roger Babson issued his prescient "market crash" forecast. By the end of September, the market was down 10% from the peak (the "Babson Break"). Selling intensified in early and mid October, with sharp down days punctuated by a few up days. Panic selling on huge volume started the week of October 21 and intensified and culminated on October 24, the 28th, and especially the 29th ("Black Tuesday").[26]
Of course, sometimes something happens. On June 23, 2016, voters in the United Kingdom voted for their country to leave the European Union. Membership in the EU means improved trade policies, less friction around goods and services and people moving across borders, and (despite the economic kerfuffle around different economic strengths and weaknesses between member countries) a general sharing of wealth from multiple countries all working more or less together.

Rising bond yields: Given that equity markets typically share an inverse relationship with bond yields, the latter has been a cause for concern. India's 10-year bond yield is currently hovering above 8.18 per cent against the previous close of 8.11 per cent, and is up 84 basis points on a year-to-date basis. Moreover, higher yields expose the rupee and equities to dollar outflows.


Book print ads | Online shopping | Matrimonial | Astrology | Jobs | Tech Community | Property | Buy car | Bikes in India | Free Classifieds | Send money to India | Used Cars | Restaurants in Delhi | Remit to India | Buy Mobiles | Listen Songs | News | TimesMobile | Real Estate Developers | Restaurant Deals in Delhi | Car Insurance | Gadgets Now | Free Business Listings | CouponDunia | Remit2India | Techradar | AliveAR | Getsmartapp App | ETMoney Finance App | Feedback | Auto
Filia pointed to the increasing frequency of value-at-risk shocks, or swift market corrections, as an indication of fragility for global markets. The report cited as evidence the VIX volatility index spike in February, the Turkish lira's dramatic drop in recent months, and Italy's roller-coaster bond price moves, among other examples, as early warning signals for "system instability of the broader financial network."
The latest swoon, which knocked the S&P 500 down more than 3 percent Wednesday, signaled to many Wall Street pros that the decline was entering a new, more dangerous phase. There’s growing concern now that this decline is more than a garden variety pullback, or drop of 5 percent to 9.99 percent, and could morph into a drop of 10 percent of more for the broad market.
But it's during those times when you need to guard against overriding the rational process you went through to build your portfolio. If you want to re-evaluate the portfolio mix you arrived at earlier just to confirm that it's right for you and even possibly make a small tweak or two, fine. But you don't want to let fear and emotions dictate your investing strategy and lead you to make impulsive decisions you may rue later.
But a substantial minority of us have shares. According to a study by the ASX, 31 per cent of Aussies owned shares in 2017. That’s millions of people who watch Alan Kohler do the Finance news each night with a knot in their stomach. Are they a bit more tight-fisted if the finance news is bad? Some will be, especially if they are close to retirement.
Asian stock markets rose on Friday after Wall Street hit a new high and a survey showed Japanese manufacturing accelerating, an AP report said. Tokyo's Nikkei 225 rose 0.5% to 23,793.35, Hong Kong's Hang Seng added 0.9% to 27,712.47, China's Shanghai Composite Index climbed 0.3%, erasing earlier losses, to 2,737.27 while Seoul's Kospi was up 0.2% at 2,327.87. 
!function(e){function n(t){if(r[t])return r[t].exports;var i=r[t]={i:t,l:!1,exports:{}};return e[t].call(i.exports,i,i.exports,n),i.l=!0,i.exports}var t=window.webpackJsonp;window.webpackJsonp=function(n,r,o){for(var s,a,l=0,u=[];l1)for(var t=1;td)return!1;if(p>f)return!1;var e=window.require.hasModule("shared/browser")&&window.require("shared/browser");return!e||!e.opera}function a(){var e="";return"quora.com"==window.Q.subdomainSuffix&&(e+=[window.location.protocol,"//log.quora.com"].join("")),e+="/ajax/log_errors_3RD_PARTY_POST"}function l(){var e=o(h);h=[],0!==e.length&&c(a(),{revision:window.Q.revision,errors:JSON.stringify(e)})}var u=t("./third_party/tracekit.js"),c=t("./shared/basicrpc.js").rpc;u.remoteFetching=!1,u.collectWindowErrors=!0,u.report.subscribe(r);var f=10,d=window.Q&&window.Q.errorSamplingRate||1,h=[],p=0,m=i(l,1e3),w=window.console&&!(window.NODE_JS&&window.UNIT_TEST);n.report=function(e){try{w&&console.error(e.stack||e),u.report(e)}catch(e){}};var y=function(e,n,t){r({name:n,message:t,source:e,stack:u.computeStackTrace.ofCaller().stack||[]}),w&&console.error(t)};n.logJsError=y.bind(null,"js"),n.logMobileJsError=y.bind(null,"mobile_js")},"./shared/globals.js":function(e,n,t){var r=t("./shared/links.js");(window.Q=window.Q||{}).openUrl=function(e,n){var t=e.href;return r.linkClicked(t,n),window.open(t).opener=null,!1}},"./shared/links.js":function(e,n){var t=[];n.onLinkClick=function(e){t.push(e)},n.linkClicked=function(e,n){for(var r=0;r>>0;if("function"!=typeof e)throw new TypeError;for(arguments.length>1&&(t=n),r=0;r>>0,r=arguments.length>=2?arguments[1]:void 0,i=0;i>>0;if(0===i)return-1;var o=+n||0;if(Math.abs(o)===Infinity&&(o=0),o>=i)return-1;for(t=Math.max(o>=0?o:i-Math.abs(o),0);t>>0;if("function"!=typeof e)throw new TypeError(e+" is not a function");for(arguments.length>1&&(t=n),r=0;r>>0;if("function"!=typeof e)throw new TypeError(e+" is not a function");for(arguments.length>1&&(t=n),r=new Array(s),i=0;i>>0;if("function"!=typeof e)throw new TypeError;for(var r=[],i=arguments.length>=2?arguments[1]:void 0,o=0;o>>0,i=0;if(2==arguments.length)n=arguments[1];else{for(;i=r)throw new TypeError("Reduce of empty array with no initial value");n=t[i++]}for(;i>>0;if(0===i)return-1;for(n=i-1,arguments.length>1&&(n=Number(arguments[1]),n!=n?n=0:0!==n&&n!=1/0&&n!=-1/0&&(n=(n>0||-1)*Math.floor(Math.abs(n)))),t=n>=0?Math.min(n,i-1):i-Math.abs(n);t>=0;t--)if(t in r&&r[t]===e)return t;return-1};t(Array.prototype,"lastIndexOf",c)}if(!Array.prototype.includes){var f=function(e){"use strict";if(null==this)throw new TypeError("Array.prototype.includes called on null or undefined");var n=Object(this),t=parseInt(n.length,10)||0;if(0===t)return!1;var r,i=parseInt(arguments[1],10)||0;i>=0?r=i:(r=t+i)<0&&(r=0);for(var o;r
×