A stock market is an institution where humans and computers buy and sell shares of companies.
A stock market crash happens when the prices of stock are lowered greatly, and as a result no one wants to buy them. Instead, the stock is sold for cheap prices. Stock market crashes can cause an economic depression, as banks buy stock with people's money (stored inside the bank), so the banks ran out of money too. This means that because people cannot not get money back from banks, only a few people can afford the cost of living.
The first modern stock market crash occurred in 1825 after Scottish con-artist Gregor Macgregor convinced hundreds of his countrymen to invest their life savings in "Poyais", a fictional Central America territory that he claimed to rule as "Cazique". About 250 emigrated to the supposed country to find only untouched jungle and over half of them died. When the scam was eventually exposed and all the “value” that had been added to investors and banks portfolios vanished many banks were forced to close and the stock market saw its first crash.
The Great Depression became worldwide news with the Wall Street Crash of October 29, 1929 (known as Black Tuesday).
Joe Kennedy, JFK's father, made a fortune as a stock market and commodity investor before cashing in all his stocks just days before the stock market crash of 1929. Consequentially, he was one of the few people who vastly increased their fortune during the Great Depression.
On November 15, 1867, the first stock ticker was unveiled in New York City. The advent of the ticker ultimately revolutionized the stock market by making up-to-the-minute prices available to investors around the country. Prior to this development, information from the New York Stock Exchange, which has been around since 1792, traveled by mail or messenger.
In 1986, Ivan F. Boesky, reputed to be the highest-paid person on Wall Street, faced penalties of $100 million for insider stock trading. It was the highest penalty ever imposed by the U.S. Securities and Exchange Commission.
The Dow Jones Industrial Average (DJIA) fell exactly 508 points to 1,738.74 (22.61%) on October 19, 1987, the biggest percentage decline in its history, as stock markets around the world crashed. It initially continued its plunge on the 20th. The markets rallied sharply in the afternoon when the Dow posted its first triple-digit gain in its history.
After launching in 1971 with 50 companies and a starting value of 100, the NASDAQ Composite peaked at a high of 5,132.52 on March 10, 2000 signaling the beginning of the end of the dot-com boom. It subsequently fell to a low of 1,108.49 on October 10, 2002 when the bubble burst. On April 23, 2015, after over 15 years, the index made a new closing high of 5,056.06.
In 1999, Raven the Chimpanzee became the 22nd most successful money manager in the United States after choosing stocks at random, generating a 213 percent gain and outperforming more than 6,000 professional Wall Street stock brokers.
As of mid 2017, the size of the world stock market (total market capitalization) was about US$76.3 trillion. By country, the largest market was the United States (about 34%), followed by Japan (about 6%) and the United Kingdom (about 6%).These numbers increased in 2013.
On March 12, 2020 Global stock markets suffered from the greatest single-day fall since the 1987 stock market crash. Black Thursday was attributed principally to the coronavirus pandemic.
JP Morgan estimates that only about 10% of US stock trades are done by actual humans. The remainder is done by high frequency trading algorithms and day trading bots.
The UK stock market tends to do better in December than any other month. This has been put down to something called the 'Santa rally'.
Monday is the only day of the week when the US stock market is more likely to fall than rise.
We got the terms "bear market" and "bull market" from the ways the animals attack. Bears strike downward, while bulls launch themselves upward into the air.
Source Firsts: Origins of Everyday Things That Changed the World By Wilson Casey
A stock market crash happens when the prices of stock are lowered greatly, and as a result no one wants to buy them. Instead, the stock is sold for cheap prices. Stock market crashes can cause an economic depression, as banks buy stock with people's money (stored inside the bank), so the banks ran out of money too. This means that because people cannot not get money back from banks, only a few people can afford the cost of living.
The first modern stock market crash occurred in 1825 after Scottish con-artist Gregor Macgregor convinced hundreds of his countrymen to invest their life savings in "Poyais", a fictional Central America territory that he claimed to rule as "Cazique". About 250 emigrated to the supposed country to find only untouched jungle and over half of them died. When the scam was eventually exposed and all the “value” that had been added to investors and banks portfolios vanished many banks were forced to close and the stock market saw its first crash.
The Great Depression became worldwide news with the Wall Street Crash of October 29, 1929 (known as Black Tuesday).
Joe Kennedy, JFK's father, made a fortune as a stock market and commodity investor before cashing in all his stocks just days before the stock market crash of 1929. Consequentially, he was one of the few people who vastly increased their fortune during the Great Depression.
On November 15, 1867, the first stock ticker was unveiled in New York City. The advent of the ticker ultimately revolutionized the stock market by making up-to-the-minute prices available to investors around the country. Prior to this development, information from the New York Stock Exchange, which has been around since 1792, traveled by mail or messenger.
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| Watching the ticker tape, 1918 |
In 1986, Ivan F. Boesky, reputed to be the highest-paid person on Wall Street, faced penalties of $100 million for insider stock trading. It was the highest penalty ever imposed by the U.S. Securities and Exchange Commission.
The Dow Jones Industrial Average (DJIA) fell exactly 508 points to 1,738.74 (22.61%) on October 19, 1987, the biggest percentage decline in its history, as stock markets around the world crashed. It initially continued its plunge on the 20th. The markets rallied sharply in the afternoon when the Dow posted its first triple-digit gain in its history.
 |
| DJIA (June 19, 1987, to January 19, 1988). |
After launching in 1971 with 50 companies and a starting value of 100, the NASDAQ Composite peaked at a high of 5,132.52 on March 10, 2000 signaling the beginning of the end of the dot-com boom. It subsequently fell to a low of 1,108.49 on October 10, 2002 when the bubble burst. On April 23, 2015, after over 15 years, the index made a new closing high of 5,056.06.
In 1999, Raven the Chimpanzee became the 22nd most successful money manager in the United States after choosing stocks at random, generating a 213 percent gain and outperforming more than 6,000 professional Wall Street stock brokers.
 |
| NASDAQ in Times Square, New York City. By Kowloonese |
As of mid 2017, the size of the world stock market (total market capitalization) was about US$76.3 trillion. By country, the largest market was the United States (about 34%), followed by Japan (about 6%) and the United Kingdom (about 6%).These numbers increased in 2013.
On March 12, 2020 Global stock markets suffered from the greatest single-day fall since the 1987 stock market crash. Black Thursday was attributed principally to the coronavirus pandemic.
JP Morgan estimates that only about 10% of US stock trades are done by actual humans. The remainder is done by high frequency trading algorithms and day trading bots.
The UK stock market tends to do better in December than any other month. This has been put down to something called the 'Santa rally'.
Monday is the only day of the week when the US stock market is more likely to fall than rise.
We got the terms "bear market" and "bull market" from the ways the animals attack. Bears strike downward, while bulls launch themselves upward into the air.
Source Firsts: Origins of Everyday Things That Changed the World By Wilson Casey
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