Stock Market Crash 1929

The Stock Market Crash of 1929

The Stock Market Crash of 1929 occurred on black Tuesday October 29,1929. The cause of stock market crash of 1929 is debatable – mostly attributed to speculation and overpricing of stocks.  The effects of the stock market crash of 1929 was most people lost all their earnings overnight.  Banks which have invested in the shares were also in trouble.  Effects of stock market crash of 1929 banks started recovery from its borrowers who were not able to pay. Since banks had paper securities worth nothing depositors started withdrawing from banks.  

This Stock market crash of 1929 is also called as Wall Street crash 1929 or October Market crash.  Wall Street 1929 saw a panic among stock holders who were selling in panic causing stock market depression.   The reasons for stock market crash of 1929 though mentioned as speculation the stock market in the 1920s was growing steadily such that none could anticipate the crash of the stock market in 1929.   Stock market crash of 1929 black Tuesday was preceded by Black Thursday on which day also stock index dropped more. 

Stock market crash history is not complete without the mention of stock mart crash of 1929 great depression.   Stock market crash history also has mention about the loss the business and industry suffered. The great stock market crash of 1929 resulted in lay off of many workers.  Stock crash 1929 also affected the small farmers.    Market crash 1929 also followed by drought and horrendous dust storms affected farmers.   Great Stock market crash resulted in young men and women had to go from one place to another to find job was the causes of crash of 1929.  Reasons for the stock market crash of 1929 are not understood properly is evidenced by further stock market crash of 1987.

Stock crash 1929 was followed by further drop in share prices and in 1932-33 saw the bottom level down about 80% of their level in 1920s.   1929 stock market crash brought Great Depression resulting in untold sufferings to all levels of people.  Causes of the crash 1929 can also be attributed to great expansion of investment trusts, public utility companies, margin buying resulting in pushing their prices to artificial heights.

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