What was most interesting in the 1929 stock market crash was <1% of Americans had a stock broking account and perhaps 3% played the game outside brokers in the penny shops that were more gambling dens than share market investing. The margin calls and other factors that impacted on many well beyond the market fluctuation of about 12% or so.
The cheap or free money impact on shares recently in Japan saw a similar impact for some?
I am not a geared investor.
The housing crash's here and elsewhere are a bit similar? A note today that Melbourne and Sydney prices my fall 1-5% overlooked the massive price inflation caused by borrowing far beyond intrinsic values perhaps.
An offer I have on a more rural house in a area full of 'investment' properties is also impacted by significant price inflation with the covid exodus which was a bubble in my view. The amount offer I made 20% below the listed price was accepted the settlement date I required wasn't.
The ebb and flow of markets is normal. The great depression was economic stuff ups of shutting down trade and trade wars. One of the best books I have read about The Richest and poorest best and worst investor of that time used leverage to make inflation adjusted trillions. Effectively he started Day Trading Jesse Lauriston Livermore (July 26, 1877 – November 28, 1940)
I am not short in the market Mr Livermore's story is tragic really. Amazing and not a model to follow in many ways!
Mr Livermore's story is tragic really. Amazing and not a model to follow in many ways!
