There have not always been rosy times in the history of the stock market and the financial market. So that you do not only get to know the positive sides of the financial sector, but are also comprehensively informed, the second part of the format Stock Exchange History deals with the biggest stock market crashes in history. These are the 5 best-known stock market crashes:
The Tulip Crash (1637)
In 1593 the tulip bulbs from Istanbul became very popular in the Netherlands. The prices rose massively up to a height of 50,000 € according to today’s calculation and with a blow mass sales were transacted, which brought finally the tulip bubble to burst.
Black Friday (25 October 1929)
After a long period of economic activity, prices began to fall again slightly for the first time and Wall Street investors panicked, which again led to mass sales and caused the Dow Jones as a whole to fall by 85 percent.
The Dot.com bubble (March 2000)
In the 1990s, the Internet led to an enormous increase in the number of start-ups of companies that needed fast capital. These provided the capital on the stock exchange in the form of shares. In order to jump on this trend, many investors invested blindly. In the year 2000 the bubble burst.
11 September 2001
After the shocking news of the terrorist attack on the World Trade Center, the already falling DAX fell by 400 points within a few minutes. All the subsequent reports, which made the panic bigger, boosted the falling prices.
Lehman Brothers (September 15, 2008)
The burst real estate bubble in the USA widened and quickly flooded the banking sector. The high point at that time was the bankruptcy of the investment bank Lehman Brothers. The banking crisis forced the states to save the banks with huge financial injections. The Dow Jones lost 450 points due to the bankruptcy.
Finally, a very valuable tip: With the right awareness, the mistakes of others can lead to great growth. That is why it is also important to deal with rather negative issues. Here you will find more articles that might be of interest to you:
This is the source of this article. – Maxim Bederov