Which 1997 market crash began after Thailand abandoned its fixed exchange rate for the baht?

The 1997 market crash that began after Thailand abandoned its fixed exchange rate for the baht was the Asian financial crisis.

Thailand allowed the baht to float on July 2, 1997, after authorities struggled to defend its exchange-rate peg. The currency depreciated sharply, and financial stress spread to other economies with high foreign-currency debt, weak banks, and rapidly reversing capital flows.

Indonesia, South Korea, and several other Asian markets suffered severe currency and stock-market declines. International Monetary Fund assistance was arranged for Thailand, Indonesia, and South Korea, although the required policies were controversial and imposed significant economic hardship.

The crisis was not simply a stock-market event. Currency devaluations, corporate debt, banking problems, property bubbles, and investor contagion reinforced one another. Hong Kong’s market resisted a currency devaluation but still experienced intense pressure in October 1997.