The 1987 global stock-market crash is commonly called Black Monday after its largest one-day fall.
On 19 October 1987, the Dow Jones Industrial Average dropped 22.6 percent, its largest one-day percentage decline. Markets in Hong Kong, London, Australia and other financial centers also plunged, making the event global rather than purely American.
Program trading, portfolio insurance, overvalued shares, rising interest rates and international trade tensions were among the factors studied afterward. Unlike 1929, the crash did not produce a decade-long depression. Economic growth continued, although confidence and markets took time to recover.
The U.S. Securities and Exchange Commission later introduced circuit breakers, which temporarily halt trading after extreme moves. “Black Monday” can also refer to other market disasters, so the year 1987 is essential when identifying this crash.