Let's dive into the history and know about the biggest and most catastrophic market crashes which have shaken the financial world. The most terrible crashes we are talking about, definitely not an article for you if you're looking for market crashes ranging from a minute to giant collapses in the market.
List of all known market crashes in history
Market crashes in 1600-1700
1637: Also known as Tulip Mania Bubble because it was a period when the prices of tulip bulbs which was recently introduced at that time were increased dramatically. This result in a swift decline in its price which was the root cause of the market crash in the Netherland. Tulip Mania Bubble is the first-ever documented speculative bubble in history.
Market crashes in 1700-1800
1720: There were remarkably two different market crashes in 1720, in two different nations. The first one is named The Mississippi Bubble. There was a regular incline and decline of the company which is directly connected with the activities of the Scottish financier and an economist, John Law who was then, the controller general of finances of France. It is also one of the earliest instances of a bubble.
1720: Also known as the South Sea Bubble of 1720. It severely impacted the stock markets of European countries. Happened during the initial days of chartered joint-stock companies of the United Kingdom of Great Britain.
1769: Known as the Bengal Bubble of 1789. It was caused when the share prices fell steeply during the British East India company's period. It occurred during the time of the Bengal conquest by the East India Company (UK).
1772: Known as the Crisis of 1772 and occurred in the United Kingdom as well as it was spread to the United State. Though the market crash was originated in London and then spread to the rest of the parts of Europe, affecting the United State further.
1791: The market crash is known after the Financial Crisis of 1791-1792. Most scholars know little about it. It was the first-ever American bank market crash.
1796: Known as the Panic of 1796. Occurred in UK and USA. There was a decline in the price of the credit market.
Market crashes in 1800-1900
1819: Known as the Panic of 1819 which was the root cause of the collapse of the American economy.
1825: Recognized as the Panic of 1825 initiated in the Bank of Britain. Due to this crisis, about 12 banks were closed since then.
1837: It lasted until the mid-1840s. Unemployment rose, wages declined steeply, losses were common. It severely impacted the financial condition of the USA
1847: Kenned as the Panic of 1847. It was a minor market crash due to a banking issue. There was a collapse of several non-banking organisations.
1857: It was caused by the over-expansion of the domestic economy and due to the decline of the global economy. Chiefly impacted the US economy.
1866: Also known as the Panic of 1866. It caused a financial crisis in London of Britain.
1869: It is one of the very well known market crashes known as the Black Friday. It occurred on 24 September. The reason was the conspiracy between two investors. Majorly caused a financial crisis in the USA.
1873: Known as the Panic of 1872, it was the root cause of the long depression in the US and some parts of Europe. Lasted for more than four years.
1882: Known as the Paris Bourse crash of 1882, was a market crash that occurred in France. It gave a shocking impact on the economy of France and it was the worst financial trouble in 19th century France.
1884: Lasted for about four years, the well-known Panic of 1884 caused a credit shortage and initiated a significant economic decline in the US
1890: Popularly known as Encilhamento, caused a major collapse in the Brazilian economy. There was a severe political disturbance and the panic lasted for about three years.
1893: Known as the Panic of 1893, initiated in the US. It badly affected the three sectors of the economy. It was a period of economic depression.
1896: An acute financial crisis was caused in the US.
Market crashes in 1900-2000
1901: First ever market crash on the New York Stock Exchange. The impact lasted for about three years. In the same period, President William McKinley was assassinated. The first sign of the market crash saw on 17 May.
1907: It lasted for about a year. The market crash is popularly known as the 1907 Bankers' Panic. It took place in the US. The NYSE fell about 50%.
1929: Also known as the Wall Street Crash of 1929. It lasted for over four years. Popularly known as the Great Crash.
1937: Popularly known as the Recession of 1937-38. It was caused chiefly due to the impact of The Great Depression. Lasted for a year in the US.
1962: Known as the Kennedy Slide of 1962. It occurred during the administrative title of John Kennedy in the US.
1971: Occured in Brazil, this well-known market crash is named Brazillian Markets Crash of 1971. It was caused due to the energy crisis as well as the debt crisis.
1973: Lasted for about two years. There was a dramatic increase in the price of oil, specifically causing a severe impact in the United Kingdom.
1982: Also known as Souk Al-Manakh stock market crash, occurred in Kuwait in August.
1987: One of the most talked-about stock market crashes, popularly known as the Black Monday. It severely affected the financial condition of the US. To know more about Black Monday, refer here.
1989: It was caused due to poor intrinsic controls and absence of credit order leading to the collapse. Occurred in June, in the Federative Republic of Brazil.
1989: Caused in the US due to an airline company. Also known as the 13th mini-crash.
1990: It was the period when Iraq invaded Kuwait causing the oil prices to rise. It chiefly affected western countries such as the US.
1991: Known as Japanese Asset Price Bubble. It lasted for about 19 years.
1992: Known as Black Wednesday. Occurred in the United Kingdom. The C. govt was forced to withdraw the pound sterling.
1997: Known as Asian Financial Crisis of 2 July 1997. The affected nations were South Korea, Thailand, Myanmar and the Philippines.
1997: Mini global market crash chiefly affecting the financial condition of Asian countries.
1998: Known as Russian Financial Crisis. The authority had to devalue its ruble.
2000: Known as Dot-com Bubble. It was the first tech bubble caused by the collapse of the tech financial market.
Market crashes in 2000-2021
2001: Occurred in September of 2001, when there was a loss of $40b in the insurance sector.
2002: Known as the downturn of 2002. Chiefly affected USA, Canada, Asian countries, and European countries.
2007: Occurred in China when the SSE Index of Shanghai Stock Exchange fell down by 9%.
2007: Another market crash that occurred in 2007 was in the USA. It was one of the most terrible stock market crashes caused after the Great Depression.
2008: It is one of the most talked-about market crashes. It was caused due to poor monetary regulation and management. The chief reason for this market crash was confusion. Occurred in the US. Refer here to read about it.
2009: Happened in UAE
2010: Befallen in European nations (April)
2010: Happened in the US (May)
2011: Terrible market crash causing a decline of 21.6% (S&P 500). Chiefly affecting the US along with Middle East, Asia, and Europe. Known as August 2011 stock markets fall.
2015: There were two major market crashes in 2015. The first market crash occurred on 12 June, causing a severe impact on the Chinese market
2015: Known as 2015-2016 market sell-off. The name is pointing out the fact that there was major trading of shares. It chiefly scraped the economy of the USA. (Initially hit the market on 18 August)
2018: Also known as the 2018 Cryptocurrency Crash. It occurred on 20 September. The impact was worldwide.
2020: The most recent market crash was caused due to the exchange disturbance caused by the great pandemic of 2020, SARS COVID-19. Its impact was worldwide. The sudden market crash of 2020 occurred on the 20th of February and its impact was neutralised on 7 April. The year 2020 was the most profitable year for crypto HODLers. Yet many crypto enthusiasts are yielding serious profit from it right now!
