ABC News Classics The Stock Market Crash of 1987

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It was a day that recorded the biggest percentage decline in the history of Wall Street: 22 percent. That was double the drop during the famed stock market crash of 1929, but there were many differences between the two events, as you will see from interviews with Charles Schwab, Robert Hormats, as well as ABC News reports from the opening of the Asian markets. ABC News takes you back to October 19, 1987.

BUY NOW: ABC News Classics The Stock Market Crash of 1987

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Bring the depth, clarity and focus of The New York Times, and the great sights and sounds of important worldwide events as they develop – into your classroom. Each program provides background information and learning activities to stimulate comprehension and inquiry. This video examines possible causes of the stock market crash of October 1987.

BUY NOW: The Stock Market Crash of 1987: Causes and Effects

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Stock Market Crash

The question is: is not the stock market crash? The question is not will the stock market RIGHT. Hey, it really happened. Have you noticed the numbers of late Friday in the three major indexes? However, neither are we facing a depression-style reduction of stocks market 90%. Enough people commit suicide with Dow 7,000. It is necessary to descend to 1,200 (90% decline). While last weeks 778 point Dow drop was greater for each day the fall of a single point of days, could even approach a percentage drop. But let's be realistic. For the year the Dow has fallen more than 3,100 points, the Nasaq by over 700 points and the S & P 500 almost to 400 points. Ouch! :-( And the reality of everything is very little future, when the 3T 401k and realities of financing other retiurement arrive by mail. The deposit of $ 700 billion U.S. dollars out can not change these numbers and I doubt if you can change 4T pain either. Let's be realistic about the state of the economy here in the U.S. and worldwide.'s not going into a depression when you are depressed! Shortly before Thanksgiving (it can be said immediately after the elections?) , Paulson will start buying process about 250 million of assets without value. And then, before he can spend more money, there will be a new president. That does not mean that things will change radically because even if McCain, who will be dealing with a Democratic Congress more balanced. Ah, the banks of reality! :-) will accumulate capital, credit markets stay tight, and loans will be even more expensive. Unemployment will decline further. Can you say 6. 5% unemployment at some point in the 1Q of '09, at the latest? There will be a happy Christmas, or at least not as happy as consumers sought. , Do not forget that we live in a global economy continues to weaken. The euro is to fill the tank and banks in Europe are folding. Oil has had. The party is over! I smell $ 75 a barrel, regardless of what Chavez would like to see or what OPEC could do. How far the Dow falls is anyone's guess, but I think it is much less than people think-or want. As Richard Russell wrote Friday, "Under Dow Theory Which principle he's followed all his life, we now have a bear market reconfirmation. "BEAR is in brrrrrr. Dow will give way to five-digit Dow digits four before we know. To me that is the defintion of the stock market crash in any terminology.

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