Stock-market crashes through the ages – part i
Eeveryone living in America today has a higher standard of living than the President and his family had 90 years ago. Follow ZeroHedge in Real time on FinancialJuice. We had gone through the post-war period and there was heightened wealth in western economies.
Stock-Market Crashes Through the Ages – Late 20th Century
People were asking for greater recognition and wealth was being distributed and redistributed in the construction of a new world that was supposed to be better and safer. Groups that had until then been largely left unrecognized were now asking to partake in that wealthy society that was being constructed.
Women gained even more rights, kids where no longer treated like babies, minority groups were given greater equality. Consumerism had been born and it changed our outlook on the world.
The world had been through great recessions and had suffered enormous losses due to World War II. The United Nations had been set up in leading to greater cooperation between countries. Friedman in , stating that those countries are more likely to avoid war with each other and do business to maintain their wealth. Money was tied to the US Dollar, by monetary policies that maintained exchange rates between those currencies. It was the period of postwar expansion and economic boom, the Golden Age of Capitalism, lasting around thirty years.
The s saw the onset of economically-troubled times and the consequences of all of the decisions that had been taken before. The world became computerized, virtual, distant and yet local at the same time. We were no longer held back and could go anywhere and do anything or at least we believed that we could.
We could even go to the Moon and back. We were such a system of interconnectedness that failure in one place triggered failure in successive places, and there was no way of getting out of that. The end of the Golden Age of Capitalism was marked by a succession of stock-market crashes that rocked the world. The collapse of the Bretton Woods system, coupled with the devaluation of the Dollar and the oil crisis of Nobody expected the bubble to burst like it did.
President Richard Nixon decided to unilaterally stop the direct convertibility of the US Dollar into gold. Thanks to Nixon we have free-floating currencies today. Recovery for the countries around the world was slow and arduous after the crash. The UK never returned to the level prior to the crash until , just in time for another crash to occur just a few months later.
In real terms, the USA only returned to the same level in ! Mondays are bad days. They then rush and sell on mass, hoping to cut their losses. Maybe we should work seven days out of seven and cut the thinking time. Program trading has been cited as the major cause of the crash, although analysts do still dispute this. Program trading is a sample of stocks that are traded according to the evaluation of the market via predetermined conditions. It enables the trading of large quantities of stocks at the same time.
Technological advances were relatively new in regarding the world of IT. Perhaps today at least we might hope the software programs are more sophisticated and reduce the margin of error. There is no need for human intervention and thus large quantities can be bought and sold at the click of a button. The Asian financial crisis began in July in Thailand and was triggered by the collapse of the Thai Baht.
The government of Thailand did not have enough foreign currency to back its fixed-xchange rate and it was forced to float the Thai Baht, removing its peg to the US Dollar. Thailand was already greatly in debt. It was crippled by foreign debts that had led to the bankruptcy of the country prior to this also.
It rapidly spread to Indonesia and South Korea. The dot-com speculative bubble lasted from until The first web browser was launched in People always say that history repeats itself.
With hindsight, it might be easy to look back and see where things went wrong. But we do, time and time again. You might also enjoy.
Stock-Market Crashes Through the Ages – Part IV – Late 20th Century | Zero Hedge
Please Come Back, All is Forgiven! High and Tight Flag Pattern.
We have good past result of tips that is why we are able to sustain in stock market. We basically provide call in only blue chip stocks on which nifty runs.
So we are always on profit whether market is bull or bear because we trade only in those scripts who run the market like SBIN, ICICIBANK, LT, RELIANCE etc. In which the most powerful stock is State Bank of India.
If you want to do intraday trading then you must have to know the behaviour of this stock. NIFTY is like a King in stock market who shows overall performance of market. NIFTY runs on these blue chip stocks. You can understand this by a simple example that consider a king who has a vehcle with ten horses. So always keep in mind the direction of the SBIN to trade in intraday in the market. The market can crash both up or down The worst thing is the current paradigm has never happened before.
With the FED buying everything up we really don't what for sure will happen or when. Evidently, he was going into a meeting during the last hours of the trading session and was aware that the markets were off sharply.
Upon coming out, he asked someone how the markets had closed. Here's our Cookie Policy. How to report offensive comments. Home Contributors Newsletter Donate More Store ZH-TShirt Glossary Archive Manifesto RSS. INTRoDuCiNG ReBu, THe WORLD'S FiRST RoBoT CeO Jun 27, 9: Black Monday Crash.
Stock market crashes through the ages | This is Money
Friday 13th Crash. China program trading Program Trading Germany Japan Crude Oil New York Stock Exchange International Monetary Fund Great Depression Nasdaq Technical Analysis Wall Street Journal Joseph Stiglitz Bond fixed Money Supply Insider Trading Dow Jones Industrial Average Hong Kong Crude Recession NASDAQ Market Crash recovery Hyperinflation Milton Friedman.
Pivotfarm's blog Printer-friendly version Jun 27, 9: Comment viewing options Flat list - collapsed Flat list - expanded Threaded list - collapsed Threaded list - expanded. Date - newest first Date - oldest first. Select your preferred way to display the comments and click "Save settings" to activate your changes.
CaptainAmerica Jun 27, Midasking Jun 27, But, is the 21ST century. This aticle is about the LATE 20th century. My favorite anecdote about the crash was about Greenspan. Create new account Request new password. To prevent automated spam submissions leave this field empty. Zero Hedge Reads Acting Man Alt-Market Benzinga Boom Bust Blog Capitalist Exploits China Financial Markets Chris Martenson's Blog Contrary Investor Daneric's Elliott Waves Dr.
New Comments THIS IS NOT POSSIBLE! Putrid, glad to see you are Secret Weapon. Nobody would buy MrBoompi. Mueller can't do a fair rkoen. In other words Goldman would SethDavis. Gartman is a brilliant LAUGHING MY Just Another Vi Democrats Get Crushed In Georgia Election Despite 7x Spending Advantage.
At Least It Tried". Will It Be Economic Collapse?
covertress: Stock Market Crashes Through the Ages – Part I – 17th and 18th Centuries
We Won't Have To Guess Much Longer Russian, NATO Jets In Near Standoff After F Buzzes Defense Minister's Airplane. How to report offensive comments Notice on Racial Discrimination. RanSquawk News Three OPEC delegates reject the idea of deeper production cuts, as US Homeland Official says that Russian hackers targeted election Harley-Davidson HOG is said to be considering a bid for Volkswagen RANsquawk sources note takeover chatter circulating for Bristol-Myers A choppy day for Sterling as the MPC swing-o-meter GlaxoSmithKline says shingles vaccine candidate study meets primary Malaysia Airlines signs two FHS components support agreements with Airbus, Inmarsat partner for EAN inflight broadband service.
EFW secures second AP2F conversion contract from DHL Airbus, Safran to market 'eTaxi' electric taxiing system Gulf of Mexico storm Cindy may delay oil imports, exports, Bloomberg Bristol Myers Squibb call volume above normal and directionally Target cut to Neutral at Citi as top competitors 'change the Margins Beat, Guidance Maintained'.
Dunkin' Brands DNKN Trades Lower Following Comments at Investor Confernce.
Cisco CSCO volatility low into financial analyst meeting and Cisco Live. Harley-Davidson HOG June weekly 55 puts active. TWTR call put ratio 4. Discrimination Notice Cookie Policy.