Black Monday: The Stock Market Crash of 1987

The first contemporary global financial crisis unfolded in the autumn of 1987 on a day known infamously as “Black Monday.”1 A chain reaction of market distress sent global stock exchanges plummeting in a matter of hours. In the United States, the Dow Jones Industrial Average (DJIA) dropped 22.6 percent in a single trading session, a loss that remains the largest one-day stock market decline in history.2 At the time, it also marked the sharpest market downturn in the United States since the Great Depression. (Federal Reserve)