Stock market crash - Finance Records
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Topic: Stock market crash


  
 EH.Net Encyclopedia: The 1929 Stock Market Crash
Assume that a utility purchases an asset that costs $1,000,000 and that asset is financed with 40% stock ($400,000).
The market price as a percentage of year-end book value was 420% using the high prices and 181% using the low prices.
In September 1929, the market value of one segment of the market, the public utility sector, should be based on existing fundamentals, and fundamentals seem to have changed considerably in October 1929.
http://www.eh.net/encyclopedia/article/Bierman.Crash   (8141 words)

  
 The Crash of 1929
What made the market popular was the fact that you could go to a broker and purchase stock on margin.
What this means is that instead of buying your stocks with the money you have, you could purchase them with cash down and the rest on credit.
We are paying interest on a loan for a stock which itself is being used as collateral.
http://www.btinternet.com/~dreklind/thecrash.htm   (1932 words)

  
 Stock Market Crash of 1987
Portfolio insurance, a form of investment, is the guarding of other stock investments against losses (Arbel and Kaff, pg 115) This is regarded as a highly risky way of investing in the stock market because these portfolio insurance professionals rely on their intuition instead of the reliable information.
These risky investors sell their stocks at a high price when they think the market is declining and their stocks are losing value.
Because of this distrust, investors would be reluctant to put their money in the market and might instead invest it in the bank where interest rates would climb and the market would decline.
http://www.ncs.pvt.k12.va.us/ryerbury/pasc/pasc.htm   (2706 words)

  
 The First Measured Century: Timeline: Events - Stock Market Crash
Many investors became convinced that stocks were a sure thing and borrowed heavily to invest more money in the market.
Another crucial mechanism insulated commercial banks from stock market panics by banning banks from investing depositors' money in stocks.
From 1920 to 1929 stocks more than quadrupled in value.
http://www.pbs.org/fmc/timeline/estockmktcrash.htm   (481 words)

  
 Stock market crash: Expert opinion
In the short term the market may look at the budget as document of economic policy before moving up.
It is however not only a factor of the election results in India, but is also part of the weak performance of both debt and equity markets in emerging markets worldwide in the recent past.
Markets are concerned that what they expected has not really happened.
http://www.rediff.com/money/2004/may/18perfin.htm   (1327 words)

  
 Monthly Review: The stock market crash and its aftermath
Without dwelling on the details of these innovations (such as futures linked to indexes of stock prices), the important thing to understand is that gambling in these instruments requires cash advances of as little as 5 to 10 percent of the price of the contract, the rest being borrowed from banks or security firms.
Meanwhile, not only were the major market operators unable to repay their debts, they needed still more loans to stay afloat, let alone to try to stem the downward spiral.
Traders in futures and other instruments based on borrowing to the hilt are then trapped: as the value of the collateral underlying their debt evaporates, they are compelled to dump their contracts or face losing all the cash they advanced as well as what they borrowed.
http://www.findarticles.com/p/articles/mi_m1132/is_n10_v39/ai_6323588   (1443 words)

  
 Stock market crash (October 1929): historical context, economic impact and related links
It was estimated that Canadian stocks lost a total value of $5 billion on paper in 1929.
Speculation was rampant: bidding drove up the value of stocks as much as 40 times the companies’ annual earnings.
Banks gave out easy and cheap credit, and let people buy stocks on margin: buyers paid only a fraction of the share price and borrowed the rest.
http://canadianeconomy.gc.ca/english/economy/1929stock.html   (441 words)

  
 Lope Markets - 1987 Stock Market Crash Page
The US dollar had been declining prior to the 1987 crash, and worries about record budget and trade deficits abounded.
In 2003, the US dollar has again found itself in a strong downtrend, the budget deficit is ballooning as Bush wages war, and the trade deficit is hitting record highs.
The argument has it that high interest rates will coax equity investors away from dividend bearing stocks to bonds, resulting in an equity selloff.
http://www.lope.ca/markets/1987crash   (2231 words)

  
 Stock Market Crash! Blog
The slowdown in the housing market may weigh on economic growth in the second half of the year, Federal Reserve policy makers said in the minutes of their Jan. 31 meeting, released earlier this month.
The 3000 series of computers, which start at $349 for the desktop and $599 for the laptop, is aimed at the same markets that IBM once exited to focus on selling its ThinkPads to the higher-margin corporate sector.
This website seeks to demystify these horrible events that commonly occur in financial markets.
http://www.stock-market-crash.net/blog.htm   (1769 words)

  
 H102 Lecture 18: The Crash and the Great Depression
Confident that a given stock's value would rise, an investor put a down payment on the stock, expecting in a few months to pay the balance of the initial cost plus receive a hefty profit.
Many investors in the stock market practiced "buying on margin," that is, buying stock on credit.
This turned the stock market into a speculative pyramid game, in which most of the money invested in the market wasn't actually there.
http://us.history.wisc.edu/hist102/lectures/textonly/lecture18.html   (1939 words)

  
 Stock Market Crash
Rapid buying and selling inflated the prices of many stocks to the point that many were selling for more than they were actually worth.
The brokers demanded cash to cover their loans and when the investors couldn't come up with the extra money, they had to sell their stocks leaving them at a loss of money.
They sometimes bought those stocks with borrowed money, such as loans, because they had so much confidence in the market.
http://www.msad54.k12.me.us/MSAD54Pages/skow/CurrProjects/1920s/1920gr1/crash.html   (726 words)

  
 Daphne Dispatch
The idea was to buy a large quantity of stock which you expected to have a large increase in value - enough to cover the amount borrowed from the broker, plus profit.
All this speculation led to a rapid increase in the prices of stocks (they rose about 250% in the previous five years before 1929) and many analysts began to warn of an impeding "correction." (A correction means the market readjusts its prices to what they really should be).
It was the practice of buying a large number of shares of stock with a very small amount of your own money - as little as 3% -- and borrowing the rest from a broker.
http://www.ustrek.org/odyssey/semester2/022101/022101daphcrash.html   (1148 words)

  
 Stock Trading Company, Warren Buffet, Stock Trading Program
Beverly Hills, CA Your insights into the market alone have more than paid for the cost of your service.
If you're in the market for mutual funds, we can help you evaluate and select specific funds tailored to your investment needs, risk preferences and time line.
If you want to trade the market the Warren Buffet way, let StocksAtBottom.com initiate you into the art and discipline of profitable investing.
http://www.stocksatbottom.com   (630 words)

  
 Stock Market Crash of 1929 --  Encyclopædia Britannica
The debate over the origins of the Great Depression and the reasons for its severity and length is highly political, given the implications for the validity of theories of free market, regulated, and planned economies, and of monetary and fiscal policy.
Lesson plan on the functioning of the market for securities.
Interactive program for students, providing information related to American economic system, stock market, and finance.
http://www.britannica.com/eb/article-9069750   (857 words)

  
 Greenspan - stock market crash - MarketThoughts.com
They have learned to profit by "buying on the dips." And while a 20 to 30% correction may ruined an investor on margin, as long as one is not on margin, he or she will be fine.
Unfortunately, the mainstream media and the investing public severely overhyped these technological innovations and took the stock prices of these companies to their historical extremes.
By acting in a herd mentality and by taking out second mortgages and home equity financing, borrowing on credit card and pawning their jewelry to buy overinflated growth stocks (and even on margin), people are sealing their own fates.
http://www.marketthoughts.com/blowoff_phase.html   (3424 words)

  
 Crash!
As a matter of fact, the brokers who represented the pool were having their hands full plugging up the "air-holes" in the list--in other words, buying stocks which were offered for sale without any bids at all in sight.
It was no laughing matter to assume the responsibility of millions of dollars' worth of loans secured by collateral which by the end of the day might prove to have dropped to a fraction of its former value.
Whitney then went to various other points on the floor, and offered the price of the last previous sale for 10,000 shares of each of fifteen or twenty other stocks, reporting what was sold to him at that price and leaving the remainder of the order with the specialist.
http://xroads.virginia.edu/~HYPER/ALLEN/ch13.html   (4449 words)

  
 The Stock Market Crash
In the 1920's many people invested money in the Stock Market.
Soon everyone wanted to sell their stock at the same time.
Once people lost their jobs and money they had less to spend.
http://www.mce.k12tn.net/1920/crash.htm   (252 words)

  
 1929 Stock Market Crash, charts and stories of the 1987 Stock Market Crash
The foregoing has been prepared solely for informational purposes and is not a solicitation, or an offer to buy or sell any security.
How can a seemingly invincible market unravel into panic in such a short time?
How can the market change so dramatically in eight weeks?
http://www.lowrisk.com/crash/1929crash2.htm   (323 words)

  
 MONEY Magazine: 6 Money fears: No. 2: Stock market crash - Sep. 16, 2005
You'll need to put more money into a lackluster market than into a rip-roaring one.
You do that by dollar cost averaging: putting money into your 401(k) regularly or signing up for an automatic investing plan at a mutual fund.
If we are headed into a long stretch of blah returns, fees will cut deeper into your profits.
http://money.cnn.com/2005/09/13/pf/fears_stockcrash   (735 words)

  
 Stock Market Crash
When stocks failed and investors needed to default, the money was permenantly lost.
Investors bought borrowed money from their brokers, who went to banks for that money.
However, the same formula that generated all of that profit would also be the cause of Black Tuesday.
http://www.angelfire.com/co/pscst/stock.html   (179 words)

  
 The Stock Market Crash Index
That means as the SPX ratio reduces, so will the CPM so that we are always evaluating performance of the stocks balanced against the broad market indicator.
Eliminating all stocks that have less than 50 days until earnings will be announced, and the "big one", only picking stocks that have a 'CPM" (Current Price Multiple) of over 2.0....(Actually 1.96 as illustrated below).
If you need to reduce the number of stocks even further you can only pick those stocks that are optionable (even if you don't trade options).
http://www.wwfn.com/crashreport.html   (859 words)

  
 Is a stock market crash imminent
Indeed, the short interest trend in many individual stocks has been increasing of late, while the percentage of bearish investors (as measured by AAII) has also been increasing.
A more likely explanation for the recent spike in M3 is that the Fed is simply counter-acting last year's decline in the money supply figure.
He is also the author of numerous books on finance and investing, including most recently "The New Science of Parabolic Analysis." Visit his web site to subscribe to MSR and for free samples of his analysis at www.clifdroke.com
http://www.gold-eagle.com/gold_digest_04/droke072404.html   (655 words)

  
 STOCK MARKET CRASH ALERT
Again, it could be that we are mainly dealing with an unraveling of the debt bubble that has been inflated by reckless government and Federal Reserve policies in recent years and decades.
If so, then the stock market may now start anticipating a debt-deflation implosion in the economy that astute thinkers like Robert Prechter have been warning about for years.
Consequently, the world economy entered a severe contraction and stock prices plunged in the largest market correction up to that time since the Great Depression.
http://www.spiritoftruth.org/stockmarketcrash.htm   (1719 words)

  
 Stock Market Crash
Federal government drops its proposal to invest Social Security funds in stocks, decides to put the money in a huge stamp collection instead
Online brokerage firm E-Trade, its stock price under intense pressure, branches into dry-cleaning business
Parade of TV market pundits swear they've been 80% in cash all along
http://www.wfmu.org/LCD/25/crash.html   (318 words)

  
 Stock Market Crash
By early 1928, warning signals began to sound in the economy, but the so-called "greater fool theory" held fast — the recognition by an investor that he may have been foolish to have paid too much for a stock, but he would find a "greater fool" who would be willing to pay even more.
The tremendous increase in stock market prices during the 1920s was largely based upon value.
This was especially true of such issues as communications and the automobile industry where companies were profitable and worker productivity steadily increased.
http://www.u-s-history.com/pages/h1527.html   (248 words)

  
 Stock Market Crash
Many of the big fund managers were selling off fast the rest of their holdings!
People began to listen, and the big fund managers began to worry and started selling.
You read on and discover that yesterday the stock market had dropped another 9%, not to mention the fact that XYZ's stock value had been deteriorated to 57.
http://www.greekshares.com/crash.asp   (321 words)

  
 The Shepherd Investment Strategist - A Service of JAS MTS Inc
Could it be that the only reason the dollar has declined, and the reason there was an increase in many dollar-de nominated commodities, was because the return on the dollar was temporarily too low (interest-rate yield) to attract the attention of foreign investors?
you will see the dollar soar, commodities and stocks collapse, and bonds rally strongly.
I believe the odds of a deflationary environment emerging are in the high 90% range - and if it does, you will see the dollar soar, commodities and stocks collapse, and bonds rally strongly.
http://www.jasmts.com/library.php?page=depression   (163 words)

  
 Stock Market Crash of 1929 Black Thursday Wall Street Crash Questia.com Online Library
Financial Crisis and the Great Depression: A Regime Switching Approach, in Journal of Money, Credit & Banking
Visitors researching the stock market crash of 1929 also searched on:
Stock Market Crash of 1929 - Related Resources
http://www.questia.com/library/history/united-states-history/contemporary-u.s.-history/1900-1950/stock-market-crash-of-1929.jsp   (655 words)

  
 Stock market crash - Wikipedia, the free encyclopedia
A stock market crash is a sudden dramatic loss of value of shares of stock in corporations.
The stock market downturn of 2002 was part of a larger bear market and a Dot-com stock market bubble as well as Enron corruption that took the NASDAQ 75% from its highs and broader indices down 30%.
They often follow speculative stock market bubbles such as the dot-com boom.
http://en.wikipedia.org/wiki/Stock_market_crash   (324 words)

  
 The Impact of the Stock Market's Crash on Rural America
Written by Bill Ganzel of the Ganzel Group.
Since the 1930s, there have been several stock market crashes and periods of economic slowdown.
Farmers and rural residents felt the stock market crash as well – people and companies that used to buy food and other agricultural products no longer had the money to buy much of anything.
http://www.livinghistoryfarm.org/farminginthe30s/money_01.html   (446 words)

  
 Independent Stock Review
The severe decline in stock prices which followed led stock prices plummeting by an incredible 92% from their September 1929 peak.
The abrupt decline in stock prices undermined the confidence on Wall Street and Main Street.
The 1929 crash was only the beginning of the most severe bear market in US financial history.
http://www.stockreview.netfirms.com/crash_29.html   (222 words)

  
 LookSmart - Stock Market Crash 1929
Review summarizes a book examining the wealth that existed in the years before the stock market crash of 1929.
Computer game helps students understand the crash of 1929 by allowing them to become investors in the 1929 stock market.
Learn about the stock market crash of 1929.
http://www.looksmart.com/eus1/eus317829/eus317861/eus153268/eus286165/eus540433/r?l&   (266 words)

  
 Market crash - Stock market crash -- Facts, Info, and Encyclopedia article
A stock market crash is a sudden dramatic loss of value of shares of (The capital raised by a corporation through the issue of shares entitling holders to
Free Stock Market Sentiment for index shares trading
We find that the stock market in 1929 did not crash because the market was overvalued.
http://allbestlink.com/abl/market-crash.html   (257 words)

  
 The Stock Market Crash
- Over-dependence on the United States as a market and a source of investment funds
During the time before the Depression, people went mad-happy with the concept of "buying on margin" -- this happens when you buy a stock and you pay for it later, hopefully by making profit off of that stock.
Note from City Worker Calliope: Though people's not understanding the risk of buying on margin was an important part of the stock market crash, the true root was overspeculation.?
http://d.whyville.net/smmk/whytimes/article?id=3910   (478 words)

  
 1987 stock market crash
But the 1987 stock market crash in the US was even more extreme.
Stock and stock index derivative clearinghouses even survived the 1987 stock market crash.
For a properly negotiated derivatives transaction to fail, the entire market would first collapse.
http://www.in-the-money.com/glossarynet/1987_sto.htm   (262 words)

  
 Stock Market Crash - Hutchinson encyclopedia article about Stock Market Crash
This information should not be considered complete, up to date, and is not intended to be used in place of a visit, consultation, or advice of a legal, medical, or any other professional.
Panic selling on the New York Stock Exchange in October 1929; see Wall Street Crash, 1929.
http://encyclopedia.farlex.com/Stock+market+crash   (79 words)

  
 www.myspace.com/thestockmarketcrash
View All of The Stock Market Crash 's Friends
yup, stock market crash is the best medicine.
Upon any listen to The Stock Market Crash, you can't help but find it hard to believe what you hear is from Oklahoma.
http://www.myspace.com/thestockmarketcrash   (1151 words)

  
 Stock Market Crash trading system
How to use The Stock Market Crash Index
Each Week We Give Away A Stock Trading System or Service **
Bookmark This Page - The Stock Market Crash Index Is Updated Daily!
http://www.wwfn.com/crashupdate.html   (51 words)

  
 Black Thursday - Wikipedia, the free encyclopedia
Black World Wide Web protest, a 1996 protest against the Communications Decency Act in the United States.
October 24, 1929, the start of the Wall Street Crash of 1929 at the New York Stock Exchange.
http://en.wikipedia.org/wiki/Black_Thursday   (163 words)

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