Originally published by the Daily News on October 20, This story was written by Gerald Connors. The stock market collapsed yesterday, buried under a selling avalanche of more than half a billion shares, as panicked traders recalled the Great Crash of There can be no question that history is in the making," commented First Albany Corp.

The market free-fall easily eclipsed the crash of Black Tuesday, The Dow Jones Industrial Average plummeted points, more than four times the "old" record of The blue-chip stocks that make up the Dow lost BLACK MONDAY CRASH BRINGS BACK MEMORIES OF The Dow finished at 1, Economists worried that average investors would react less calmly.

If consumers feel poorer and decide to spend less, the stock market plunge could create a ripple effect that would devastate the economy. Pricey restaurants and stores patronized by the affluent employes of the financial markets had already begun to worry about the market's spillover effects.

Stock market crash sets new records in - NY Daily News

They're not lunching," said a spokeswoman for the restaurant President Reagan told reporters that the economy itself is sound, but he admitted he was "a little puzzled" about what precipitated the market collapse. Analysts blamed the fall on concern over the dollar, the deficit, interest rates and the naval action in the Persian Gulf.

But most, like Reagan, admitted in the end that they were puzzled. The extent of the market collapse seemed unprovoked.

25 Years Later: In the Crash of , the Seeds of the Great Recession | yzyjifoh.web.fc2.com

The chairman of the Pacific Stock Exchange laid part of the blame on panicking yuppies - the privileged children of the bull market. Although President Reagan urged the public to stay calm, Wall Street itself failed to set a good example. Volume on the New York Stock Exchange rocketed to a mind-boggling The frenzy to unload at all costs outran the exchange's high-speed ticker the entire session and worked the tape more than minutes overtime at the close.

IBM dropped 33, to Rumors spread that even major brokerage houses had been ruined by the selloff. Hutton felt compelled to publicly deny that its financial position was precarious. The day opened with widespread selling on the Tokyo and London exchanges.

As the New York Stock Exchange swung into action, two traders had nasty scuffle on the floor - a prelude of things to come. Of the 2, issues traded on the Big Board, all but 40 posted losses. Gold stocks, historic havens for scared money, were just about the only upside items. Eber, a Coral Gables, Fla.

Investors also sought security in U. Markets around the world plummeted in sympathy with Wall Street, with the London exchange dropping The Japanese stock market fell a relatively small 2.

10 lessons from the market crash of - MarketWatch

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Historic Stock Market Crashes, Bubbles & Financial Crises |

World Politics Share This facebook Tweet email. Sunday, October 18, , Picture taken 19 October shows a trader holding his head at the floor of the New York Stock Exchange when the Dow Jones dropped over points, the largest decline in modern time, as panic selling swept Wall Street.

Cover of the New York Daily News on October 20, NY Daily News via Getty Images New York Daily News article on the stock market crash in NY Daily News via Getty Images.

Traders on the floor of the New York Stock Exchange work frantically as the Dow Jones industrial average plummets points for a loss of over 22 percent on October 19, Traders on the floor of the New York Stock Exchange watch monitors as the Dow Jones industrial average took its sharpest loss in history on October 19, Get Daily News stories, delivered to your inbox.