Stock Market Crash

A sudden decline in the prices of a significant number of stocks of the stock exchange is termed as a stock market crash. This undesirable event happens due to public panic, economic factors or the collapse of a  long-term speculative bubble. A crash is not numerically defined but it is generally observed that during such a crash, steep double-digit percentage losses in the stock market index over a short period of time are seen. The notable stock market crashes in the US include:

> Wall Street Crash of 1929

> Black Monday, October 19, 1987

> Financial crisis of 2007–2008

In 2007 crash, the US market observed a bear market for 17 months from October 2007 to March 2009. During this period of 17 months, Nasdaq declined by 54.9% in value, while S&P 500 lost 56.8% of the value, and Dow Jones fell by 54.1%.