List of stock market crashes and bear markets
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Banque Royale by John Law stopped payments of its note in exchange for specie and as result caused economic collapse in France.
Affected early European stock markets, during early days of chartered joint stock companies
Primarily caused by the British East India Company, whose shares fell from £276 in December 1768 to £122 in 1784
Economic downturn in Europe due to poor harvests, leading to food shortages, high prices, and social unrest.
Shares of First bank of US boom and bust in Aug and Sept 1791. Groundwork of Alexander Hamilton's cooperation with the Bank of New York to end this event would be crucial in ending the Panic of 1792 next year.
A series of downturns in Atlantic credit markets led to broader commercial downturns in Great Britain and the United States.
The Panic of 1819 was the first widespread and durable financial crisis in the United States that slowed westward expansion in the Cotton Belt and was followed by a general collapse of the American economy that persisted through 1821. The Panic heralded the transition of the nation from its colonial commercial status with Europe toward an independent economy.
The Panic of 1825 was a stock market crash that started in the Bank of England, arising in part out of speculative investments in Latin America, including the imaginary country of Poyais.
The Panic of 1837 was a financial crisis in the United States that began a major depression (not to be confused with the Great Depression), which lasted until the mid-1840s. Profits, prices, and wages dropped, westward expansion was stalled, unemployment rose, and pessimism abounded.
The Panic of 1847 was a major British commercial and banking crisis, possibly triggered by the announcement in early March 1847 of government borrowing to pay for relief to combat the Great Famine in Ireland.
The Panic of 1857 was a financial crisis in the United States caused by the declining international economy and over-expansion of the domestic economy. Because of the invention of the telegraph by Samuel F. Morse in 1844, the Panic of 1857 was the first financial crisis to spread rapidly throughout the United States.
The Panic of 1866 was an international financial downturn that accompanied the failure of Overend, Gurney and Company in London, and the corso forzoso abandonment of the silver standard in Italy.
The Black Friday is the term for a gold panic on September 24, 1869, which triggered a financial crisis in the United States.
Initiated the Long Depression in the United States and much of Europe
A financial crisis in France caused by speculation and oversupply of capital, leading to a sharp drop in stock prices and economic instability.
A financial crisis in the United States triggered by railroad failures and a run on gold reserves, leading to a severe economic downturn.
Lasting 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.
Economic crisis in the U.S. triggered by railroad failures, leading to bank runs, business closures, and high unemployment rates.
Economic crisis in the United States triggered by the failure of the National Cordage Company. Led to a run on banks and a severe depression.
Lasting 3 years, the market was spooked by the assassination of President William McKinley in 1901, coupled with a severe drought later the same year.
Lasting 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.
Lasting 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.
Lasting 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.
Also known as the 'Flash Crash of 1962'
Brazilian Markets Crash of 1971
Lasting 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.
Lasting 23 months, dramatic rise in oil prices, the miners' strike and the downfall of the Heath government.
Souk Al-Manakh stock market crash was a 1982 financial crisis in Kuwait caused by speculative trading, leading to a market collapse and significant economic repercussions.
Infamous stock market crash that represented the greatest one-day percentage decline in U.S. stock market history, culminating in a bear market after a more than 20% plunge in the S&P 500 and Dow Jones Industrial Average. Among the primary causes of the chaos were program trading and illiquidity, both of which fueled the vicious decline for the day as stocks continued lower even as volume grew lighter. Today, circuit breakers are in place to prevent a repeat of Black Monday. After a 7% drop, trading would be suspended for 15 minutes, with the same 15 minute suspension kicking in after a 13% drop. However, in the event of a 20% drop, trading would be shut down for the remainder of the day.
Rio de Janeiro Stock Exchange Crash
Rio de Janeiro Stock Exchange Crash, due to its weak internal controls and absence of credit discipline, that led to its collapse, and from which it never recovered
Failed leveraged buyout of United Airlines causes crash
Iraq invaded Kuwait in August 1990, causing oil prices to increase. The Dow Jones Industrial Average 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.
Lasting 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.
The 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.
Investors 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.
Global stock market crash that was caused by an economic crisis in Asia.
The Russian government devalues the ruble, defaults on domestic debt, and declares a moratorium on payment to foreign creditors.
Collapse of a technology bubble.
The 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.
Downturn 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. See stock market downturn of 2002.
The 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.
From their peaks in October 2007 until their closing lows in early March 2009, the Dow Jones Industrial Average, Nasdaq Composite and S&P 500 all suffered declines of over 50%, marking the worst stock market crash since the Great Depression era.
On 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. Had disastrous effects on the world economy along with world trade.
Dubai requested a debt deferment following its massive renovation and development projects, as well as the Great Recession. The announcement caused global stock markets to drop.
Standard & Poor's downgraded Greece's sovereign credit rating to junk four days after the activation of a €45-billion EU–IMF bailout, triggering the decline of stock markets worldwide and of the Euro's value, and furthering a European sovereign debt crisis.
The Dow Jones Industrial Average suffered its worst intra-day point loss, dropping nearly 1,000 points before partially recovering.
S&P 500 entered a short-lived bear market between 2 May 2011 (intraday high: 1,370.58) and 4 October 2011 (intraday low: 1,074.77), a decline of 21.58%. The stock market rebounded thereafter and ended the year flat.
The Chinese stock market crashed in June and continued falling in July and August. In January 2016, the market also experienced a steep sell-off which set off a global rout.
The Dow Jones fell 588 points during a two-day period, 1,300 points from August 18–21. On Monday, August 24, world stock markets were down substantially, wiping out all gains made in 2015, with interlinked drops in commodities such as oil, which hit a six-year price low, copper, and most Asian currencies - with exception of the Japanese yen - losing value against the United States dollar. With this plunge, an estimated ten trillion dollars had been wiped off the books on global markets since June 3.
The S&P 500 index peaked at 2,930 on its September 20 close and dropped 19.73% to 2,351 by Christmas Eve. Bitcoin price peaked on 17 Dec '17, then fell 45% on 22nd Dec '17. The DJIA falls 18.78% during roughly the same period. Shanghai Composite dropped to a four-year low, escalating their economic downturn since the 2015 recession.
The S&P 500 index dropped 34%, 1145 points, at its peak of 3386 on February 19 to 2237 on March 23. This crash was part of a worldwide recession caused by the COVID-19 lockdowns.
The S&P 500 index peaked at 4,796 on its January 3 close and dropped 27.55% to 3,498 by October 2022. The DJIA fell 18.78% since its January 4 high. Nasdaq Composite fell 33.70% from its November 19 high.
2022 Russian stock market crash
As a reaction to the upcoming Russian invasion in Ukraine, the MOEX Index fell 43.58% in four trading days. In response, the markets were closed for a month by the Central Bank of Russia to prevent even deeper decline. After re-opening on March 24, the index partially recovered but was still down roughly 40% compared to before the invasion.
2024 China stock market crash
The Shanghai Composite Index plummeted from a high of 3703 in September 2021 to 2730 on February 2, 2024, marking a 26.3% decline ahead of the Chinese New Year. The government swiftly intervened in the stock market following the crash by prohibiting short selling and reshuffling government officials. These actions were prompted by China's sluggish economic recovery following the COVID-19 pandemic and a downturn in the real estate sector.