October 19, 1929 — The market experienced the second heaviest trading volume for a Saturday in its history at 3,488,100 shares traded (the market held half sessions on Saturday’s back then). The Times average closed down 12 points (The Dow closed down 10 points, a 2.8% decline). October 21, 1929 — A Monday.
Full Answer
What happened to the stock market in 1929?
The New York Stock Exchange was founded in 1817, although its origins date back to 1792 when a group of stockbrokers and merchants signed an agreement under a buttonwood tree on Wall Street. Stock prices began to decline in September and early October 1929, and on October 18 the fall began.
What was the stock market like in the 1920s?
During the 1920s, the U.S. stock market underwent rapid expansion, reaching its peak in August 1929, after a period of wild speculation. By then, production had already declined and unemployment had risen, leaving stocks in great excess of their real value.
How much did stocks drop during the Great Depression?
Overall, however, prices continued to drop as the United States slumped into the Great Depression, and by 1932 stocks were worth only about 20 percent of their value in the summer of 1929.
What year did the stock market crash in the US?
1929 Stock Market Crash. During the 1920s, the U.S. stock market underwent rapid expansion, reaching its peak in August 1929, after a period of wild speculation.
What happened to the price of shares in October 1929?
Over the course of four business days—Black Thursday (October 24) through Black Tuesday (October 29)—the Dow Jones Industrial Average dropped from 305.85 points to 230.07 points, representing a decrease in stock prices of 25 percent.
Why did the stock prices drop in October 1929?
By then, production had already declined and unemployment had risen, leaving stocks in great excess of their real value. Among the other causes of the stock market crash of 1929 were low wages, the proliferation of debt, a struggling agricultural sector and an excess of large bank loans that could not be liquidated.
What happened on Black Tuesday October 1929?
On October 29, 1929, the United States stock market crashed in an event known as Black Tuesday. This began a chain of events that led to the Great Depression, a 10-year economic slump that affected all industrialized countries in the world.
How long did it take the stock market to recover after the 1929 crash?
Wall Street lore and historical charts indicate that it took 25 years to recover from the stock market crash of 1929.