List of stock market crashes and bear markets

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This is a list of stock market crashes and bear markets.

Table[edit]

NameDatesCountryCausesRef
Kipper und Wipper1623GermanyFinancial crisis during the start of the Thirty Years' War (1621-1623).[1]
Tulip mania Bubble1637NetherlandsA bubble (1633–37) in Netherlands during which contracts for bulbs of tulips reached extraordinarily high prices, and suddenly collapsed[2]
The Mississippi Bubble1720FranceBanque Royale by John Law stopped payments of its note in exchange for specie and as result caused economic collapse in France.
South Sea Bubble of 17201720United KingdomAffected early European stock markets, during early days of chartered joint stock companies
Bengal Bubble of 17691769United KingdomPrimarily caused by the British East India Company, whose shares fell from £276 in December 1768 to £122 in 1784
Panic of 1796–17971796
Panic of 18191819United States
Panic of 183710 May 1837United States
Panic of 18471847United Kingdom
Panic of 18571857United States
Black Friday24 Sep 1869United States
Panic of 18739 May 1873Initiated the Long Depression in the United States and much of Europe
Paris Bourse crash of 188219 Jan 1882France
Panic of 18841884
Encilhamento1890BrazilLasting 3 years, 1890-1893, a Boom and bust process that boomed in late 1880s and burst on early 1890s, causing a collapse in the Brazilian economy and aggravating an already unstable political situation.[3][4][5][6]
Panic of 18931893United States
Panic of 18961896United States
Panic of 190117 May 1901United StatesLasting 3 years, the market was spooked by the assassination of President McKinley in 1901, coupled with a severe drought later the same year.
Panic of 1907Oct 1907United StatesLasting over a year, markets took fright after U.S. President Theodore Roosevelt had threatened to rein in the monopolies that flourished in various industrial sectors, notably railways.
Wall Street Crash of 192924 Oct 1929United StatesLasting over 4 years, the bursting of the speculative bubble in shares led to further selling as people who had borrowed money to buy shares had to cash them in, when their loans were called in. Also called the Great Crash or the Wall Street Crash, leading to the Great Depression.
Recession of 1937–1938 (U.S.)1937United StatesLasting around a year, this share price fall was triggered by an economic recession within the Great Depression and doubts about the effectiveness of Franklin D. Roosevelt's New Deal policy.
1971 Brazilian Markets CrashJuly 1971BrazilLasting through the 1970s and early-1980s, this was the end of a boom that started in 1969, compounded by the 1970s energy crisis coupled with early 1980s Latin American debt crisis.[7][8][9]
1973–1974 stock market crashJan 1973United KingdomLasting 23 months, dramatic rise in oil prices, the miners' strike and the downfall of the Heath government.
Silver Thursday27 March 1980Silver price crash
Souk Al-Manakh stock market crashAug 1982Kuwait
Black Monday19 Oct 1987United States
Rio de Janeiro Stock Exchange collapseJune 1989BrazilRio Stock Exchange Crash, due its weak internal controls and absence of credit discipline, that led to its collapse, and of which it never recovered[10][11][12]
Friday the 13th mini-crash13 Oct 1989United StatesFailed leveraged buyout of United Airlines causes crash
1990-1991 RecessionJuly 1990United StatesIraq invaded Kuwait in July 1990, causing oil prices to increase. The Dow dropped 18% in three months, from 2,911.63 on July 3 to 2,381.99 on October 16,1990. This recession lasted approximately 8 months.
Japanese asset price bubble1991JapanLasting approximately twenty years, through at least the end of 2011, share and property price bubble bursts and turns into a long deflationary recession. Some of the key economic events during the collapse of the Japanese asset price bubble include the 1997 Asian financial crisis and the Dot-com bubble. In addition, more recent economic events, such as the late-2000s financial crisis and August 2011 stock markets fall have prolonged this period.
Black Wednesday16 Sep 1992The Conservative government was forced to withdraw the pound sterling from the European Exchange Rate Mechanism (ERM) after they were unable to keep sterling above its agreed lower limit.
1997 Asian financial crisis2 July 1997Investors deserted emerging Asian shares, including an overheated Hong Kong stock market. Crashes occur in Thailand, Indonesia, South Korea, Philippines, and elsewhere, reaching a climax in the October 27, 1997 mini-crash.
October 27, 1997 mini-crash27 Oct 1997Global stock market crash that was caused by an economic crisis in Asia. The points loss that the Dow Jones Industrial Average suffered on this day still ranks as the eighth biggest point loss in its 117-year existence.
1998 Russian financial crisis17 Aug 1998RussiaThe Russian government devalues the ruble, defaults on domestic debt, and declares a moratorium on payment to foreign creditors.
Dot-com bubble10 March 2000United StatesCollapse of a technology bubble, world economic effects arising from the September 11 attacks and the stock market downturn of 2002.
Economic effects arising from the September 11 attacks11 Sep 2001The September 11 attacks caused global stock markets to drop sharply. The attacks themselves caused approximately $40 billion in insurance losses, making it one of the largest insured events ever.
Stock market downturn of 20029 Oct 2002Downturn in stock prices during 2002 in stock exchanges across the United States, Canada, Asia, and Europe. After recovering from lows reached following the September 11 attacks, indices slid steadily starting in March 2002, with dramatic declines in July and September leading to lows last reached in 1997 and 1998.
Chinese stock bubble of 200727 Feb 2007ChinaThe SSE Composite Index of the Shanghai Stock Exchange tumbles 9% from unexpected selloffs, the largest drop in 10 years, triggering major drops in worldwide stock markets.[13][14][15]
United States bear market of 2007–200911 Oct 2007United StatesTill June 2009, the Dow Jones Industrial Average, Nasdaq Composite and S&P 500 all experienced declines of greater than 20% from their peaks in late 2007.[16][17]
Late-2000s financial crisis16 Sep 2008United StatesOn September 16, 2008, failures of large financial institutions in the United States, due primarily to exposure of securities of packaged subprime loans and credit default swaps issued to insure these loans and their issuers, rapidly devolved into a global crisis resulting in a number of bank failures in Europe and sharp reductions in the value of equities (stock) and commodities worldwide. The failure of banks in Iceland resulted in a devaluation of the Icelandic króna and threatened the government with bankruptcy. Iceland was able to secure an emergency loan from the IMF in November. Later on, U.S. President George W. Bush signs the Emergency Economic Stabilization Act into law, creating a Troubled Asset Relief Program (TARP) to purchase failing bank assets.[18][19]
2009 Dubai debt standstill27 Nov 2009DubaiDubai requests a debt deferment following its massive renovation and development projects, as well as the late-2000s recession. The announcement causes global stock markets to drop.[20]
European sovereign debt crisis27 April 2010EuropeStandard & Poor's downgrades Greece's sovereign credit rating to junk four days after the activation of a 45-billion EUIMF bailout, triggering the decline of stock markets worldwide and of the Euro's value, and furthering a European sovereign debt crisis.[21][22][23]
2010 Flash Crash6 May 2010United StatesThe Dow Jones Industrial Average suffers its worst intra-day point loss, dropping nearly 1,000 points before partially recovering.[24]
August 2011 stock markets fall1 Aug 2011Stock markets around the world plummet during late July and early August, and are volatile for the rest of the year.

See also[edit]

Notes[edit]

  1. ^ "“Kipper und Wipper”: Rogue Traders, Rogue Princes, Rogue Bishops and the German Financial Meltdown of 1621-23" by Mike Dash, Smithsonian, March 29, 2012
  2. ^ Dash, Mike "Tulipomania: The Story of the World's Most Coveted Flower & the Extraordinary Passions It Aroused" 2001
  3. ^ James D. Henderson, Helen Delpar & Maurice P. Brungardt "A Reference Guide to Latin American History" Richard Weldon Editor - M.E.Sharpe Inc. 2000, ISBN I563247445 page 172, 2nd column, "1890" (2nd paragraph)
  4. ^ Jeffrey D. Needell; "A Tropical Belle Epoque: Elite Culture and Society in Turn-of-the-Century" Cambridge University Press 1987 Pages 10 & 12
  5. ^ Gail D. Triner; "Banking and economic development: Brazil, 1889–1930" Palgrave™ 2000 ISBN 0-312-23399-X Pages 44–74
  6. ^ Viscount of Taunay; "O Encilhamento; scenas contemporaneas da Bolsa do Rio de Janeiro em 1890, 1891 e 1892" (Portuguese) ("The Encilhamento: contemporary scenes of Rio Stock Exchange in 1890, 1891 & 1892") Editora Melhoramentos, Rio 1893
  7. ^ Gary Previts, Peter Walton & Peter Wolnizer "A Global History of Accounting, Financial Reporting And Public Policy; Americas - Volume 14B" The University of Sydney/The Accounting Foundation, Emerald Group Publishing Limited 2011 ISBN 9780857248114 Page 41, from the last paragraph
  8. ^ Detailed PDF Academic work about the subject (Portuguese) UNICAMP june 2007
  9. ^ Marta Barcellos & Simone Azevedo; "Histórias do Mercado de Capitais no Brasil" ("Histories of Financial Markets in Brazil") (Portuguese) Campus Elsevier Brazil 2011 ISBN 85-352-3994-4 Introduction and Chapter 4
  10. ^ Markham, Jeffrey W. "A Financial History of the United States; Volume III (1970-2001)" M.E.Sharpe 2002 ISBN 0765607301 page 147, from last paragraph
  11. ^ Article about the decline of Rio Stock Exchange. Last 3 paragraphs are about the 1989 crash
  12. ^ Barcellos & Azevedo 2011, Pages 141-142; 149 to 151, and 154
  13. ^ Chen, Shu-Ching Jean; Kwok, Vivian Wai-yin (27 February 2007). "Black Tuesday In China". Forbes. Retrieved 25 September 2011. 
  14. ^ "Share sale knocks Chinese market". BBC News. 27 February 2007. Retrieved 25 September 2011. 
  15. ^ Han, Pliny (27 February 2007). "Chinese shares slump sharply, down 8.84%". Xinhua News Agency. Retrieved 25 September 2011. 
  16. ^ Browning, E. S. (28 June 2008). "Dow Hits Bear-Market Territory, Signaling Woe for Economy". The Wall Street Journal. Retrieved 25 September 2011. 
  17. ^ Korkki, Phyllis (4 March 2007). "A Scary Tuesday Was No Black Monday". The New York Times. Retrieved 25 September 2011. 
  18. ^ "IMF approves $2.1bn Iceland loan". BBC News. 20 November 2008. Retrieved 25 September 2011. 
  19. ^ Sahadi, Jeanne (4 October 2008). "Bailout is law". CNN. Retrieved 25 September 2011. 
  20. ^ Robertson, David (30 November 2009). "Investors face huge losses as debt-ridden Dubai World is abandoned by government". The Times. Retrieved 25 September 2011. 
  21. ^ "Greek bonds rated 'junk' by Standard & Poor's". BBC News. 2010-04-27. Retrieved 2010-04-28. 
  22. ^ "Greece crisis: Euro markets hit again". BBC News. 2010-04-28. Retrieved 2010-04-28. 
  23. ^ "Greece crisis deepens on global market sell-off". CNN. 2010-04-28. Retrieved 2010-04-28. 
  24. ^ Moyer, Liz (7 May 2010). "Was The Market Mayhem A Mistake? Maybe Not". Forbes. Retrieved 25 September 2011. 

References[edit]