Crash market october stock
In the month of October, in the year 1929, the New York stock market crash occurred between 24th to 29th October. There ushered a great economical depression owing to this crash. Many investor in this stock exchange, who almost single handedly made some handsome properties by trading with this stock exchange, failed to prevent the final crash at that time. They had boldly purchased some of the major stocks of the giant American companies and had never thought of some thing like this happening. Due to this crash they had to suffer a major loss.
Main reasons of october stock market crash
The mammoth October 1929 New York stock market crash is a good example of what happens if the finance and the banking institutions speculate rampantly and take unwise financial decisions. Though some of the well established players in this stock market tried to gain investors confidence back, after this crash, they themselves had already sold some of their main shares secretly before this crash, in a hope of decline and reaped a profit of millions of dollars.
And this was the main reason besides other reasons, for this crash to occur. After this crash they explained such concepts as inside trading, margin buying and pools. Another important reason of this crash was the tendency of the external buyers to intervene in to the flow of the stock market text. But according to some of the reputed stock market journals quotes, this crash was not due to the one particular October days bad trading in the stock market, but a culmination of other six frightening trading days of the month of October 1929. Also many reputed news paper columnists wrote in their columns, as this October 1929 stock market crash is the overall effect of the power struggle between the Wall Street and the Washington.
Consequence of stock market october crash
Owing to this unexpected October 1929 stock market crash, totally over twenty five billion dollars individual investors wealth was lost on the single crash day and there occurred a very big economic depression. Many medium and small investors were watching their dreams, about to be fulfilled, were frustrated as their dreams were faded before their own eyes, because of this crash. And after this crash investing in the stock market by these investors would never be like before, as they suffered an almost incomprehensible loss of their life savings and fortunes. In a period of those six crash days in the month of October 1929, the whole of America was brought to its knees. Many key stock market players, who rose from poverty by gambling their hard earned money in this stock market, became poor again. The young and fresh people who were very fascinated by the stories of investors, who became affluent because of stock trading, soon realized the hollowness of this type of a profession and the effect of rampant speculation and unwise decisions. Overall, the mammoth October 1929 stock market crash was a strong and solid account of a very bad chapter in the history of America. This, October 1929 stock market crash taught a very good lesson to all stock market trading fraternity, all over the world.
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