Tradersguruji

Can the Stock Market Crash Again? Causes of stock market crashes and how to survive them The stock market crash of 1929 is the benchmark against which all other market declines are measured. That’s because it ushered in the Great Depression and took 25 years to return to pre-crash levels. Since then, any time the stock market posts a large decline the question arises: "Can it happen again?" The answer? Probably. When speculation gets out of control and values rise beyond fundamental metrics, the market will reset. This has happened almost every decade over the past 40 years. There is no specific definition of a stock market crash, but when an index experiences an abrupt double-digit percentage drop, it’s considered a crash. However, market pullbacks are part of the investment cycle. In fact, a pullback of 10% could happen as often as every 16 months or so. Investors can lower their risk and minimize losses by learning lessons from past crashes, as well as some basic rules...