After an amazing five-year run when the world saw the Dow Jones
Industrial Average (DJIA) increase in value fivefold, prices peaked at
381.17 on September 3, 1929.[19]

In 1931, the Pecora Commission was established by the U.S. Senate to
study the causes of the crash. The U.S. Congress passed the Glass-
Steagall Act in 1933,

nothing could stop it , nothing was learned  , and  new laws proved
useless

no amount of bailouts  or lipstick can make a silk purse out of a sows
ear

a coat of paint or lipstick , does not make an un roadworthy car any
safer or worth more  money except to the unwary fools , the underling
problems must be cured before you can rebuild

the USA is doomed as it can no longer afford to fix the foundation
problems and is forced to borrow money to buy more and more lipstick
and paint

kangarooistan
===========




http://en.wikipedia.org/wiki/Wall_Street_Crash_of_1929
..
The market then fell sharply for a month, losing 17% of its value on
the initial leg down.
.
 Prices then recovered more than half of the losses over the next
week, only to turn back down immediately afterwards.
.
The decline then accelerated into the so-called "Black Thursday",
October 24, 1929. A record number of 12.9 million shares were traded
on that day.
.
 At 1 p.m. on Friday, October 25, several leading Wall Street bankers
met to find a solution to the panic and chaos on the trading floor.
The meeting included Thomas W. Lamont, acting head of Morgan Bank;
Albert Wiggin, head of the Chase National Bank; and Charles E.
Mitchell, president of the National City Bank. They chose Richard
Whitney, vice president of the Exchange, to act on their behalf.
.
 With the bankers' financial resources behind him, Whitney placed a
bid to purchase a large block of shares in U.S. Steel at a price well
above the current market. As amazed traders watched, Whitney then
placed similar bids on other "blue chip" stocks.
.
 This tactic was similar to a tactic that ended the Panic of 1907, and
succeeded in halting the slide that day. In this case, however, the
respite was only temporary.
.
 On Monday, October 28, the first "Black Monday",[20] more investors
decided to get out of the market, and the slide continued with a
record loss in the Dow for the day of 13%.
.
 The next day, "Black Tuesday", October 29, 1929, about 16 million
shares were traded.[21][22][23] The volume on stocks traded on October
29, 1929 was "...a record that was not broken for nearly 40 years, in
1968."[22]
.
 Author Richard M. Salsman wrote that on October 29—amid rumors that
U.S. President Herbert Hoover would not veto the pending Hawley-Smoot
Tariff bill—stock prices crashed even further."[18] William C. Durant
joined with members of the Rockefeller family and other financial
giants to buy large quantities of stocks in order to demonstrate to
the public their confidence in the market, but their efforts failed to
stop the slide.
.
The DJIA lost another 12% that day. The ticker did not stop running
until about 7:45 that evening. The market lost $14 billion in value
that day, bringing the loss for the week to $30 billion, ten times
more than the annual budget of the federal government, far more than
the U.S. had spent in all of World War I.[24]

An interim bottom occurred on November 13, with the Dow closing at
198.6 that day.
.

 The market recovered for several months from that point, with the Dow
reaching a. secondary peak (ie, dead cat bounce) at 294.0 in April
1930.
.
 The market embarked on a steady slide in April 1931 that did not end
until 1932 when the Dow closed at 41.22 on July 8, concluding a
shattering 89% decline from the peak. This was the lowest the stock
market had been since the 19th century.[25]

[

The crash followed a speculative boom that had taken hold in the late
1920s, which had led hundreds of thousands of Americans to invest
heavily in the stock market, a significant number even borrowing money
to buy more stock.
.
By August 1929, brokers were routinely lending small investors more
than 2/3 of the face value of the stocks they were buying.
.
Over $8.5 billion was out on loan,[26] more than the entire amount of
currency circulating in the U.S.[citation needed] The rising share
prices encouraged more people to invest; people hoped the share prices
would rise further. Speculation thus fueled further rises and created
an economic bubble.
.
 The average P/E (price to earnings) ratio of S&P Composite stocks was
32.6 in September 1929,[27] clearly above historical norms. Most
economists view this event as the most dramatic in modern economic
history..
.
On October 24, 1929 (with the Dow just past its September 3 peak of
381.17), the market finally turned down, and panic selling started.
12,894,650 shares were traded in a single day as people desperately
tried to mitigate the situation. This mass sale is often considered a
major contributing factor to the Great Depression.[28] Some hold that
political over-reactions to the crash, such as the passage of the
Smoot-Hawley Tariff Act through the U.S. Congress, caused more harm
than the crash itself. According to "Thomas K. McCraw, a professor at
the Harvard Business School," the Smoot-Hawley Tariff Act
"...exacerbated the problem by preventing Europeans from selling
enough goods in the United States to earn enough dollars to pay off
their debts from World War I.[29]

[edit] Official investigation of the Crash

In 1931, the Pecora Commission was established by the U.S. Senate to
study the causes of the crash. The U.S. Congress passed the Glass-
Steagall Act in 1933, which mandated a separation between commercial
banks, which take deposits and extend loans, and investment banks,
which underwrite, issue, and distribute stocks, bonds, and other
securities.
.
http://en.wikipedia.org/wiki/Wall_Street_Crash_of_1929

On Oct 14, 5:24 am, kangarooistan8  wrote:
> After an amazing five-year run when the world saw the Dow Jones
> Industrial Average (DJIA) increase in value fivefold, prices peaked at
> 381.17 on September 3, 1929.[19]
>
> In 1931, the Pecora Commission was established by the U.S. Senate to
> study the causes of the crash. The U.S. Congress passed the Glass-
> Steagall Act in 1933,
>
> nothing could stop it , nothing was learned  , and  new laws proved
> useless
>
> no amount of bailouts  or lipstick can make a silk purse out of a sows
> ear
>
> a coat of paint or lipstick , does not make an un roadworthy car any
> safer or worth more  money except to the unwary fools , the underling
> problems must be cured before you can rebuild
>
> the USA is doomed as it can no longer afford to fix the foundation
> problems and is forced to borrow money to buy more and more lipstick
> and paint
>
> kangarooistan
> ===========
>
> http://en.wikipedia.org/wiki/Wall_Street_Crash_of_1929
> ..
> The market then fell sharply for a month, losing 17% of its value on
> the initial leg down.
> .
>  Prices then recovered more than half of the losses over the next
> week, only to turn back down immediately afterwards.
> .
> The decline then accelerated into the so-called "Black Thursday",
> October 24, 1929. A record number of 12.9 million shares were traded
> on that day.
> .
>  At 1 p.m. on Friday, October 25, several leading Wall Street bankers
> met to find a solution to the panic and chaos on the trading floor.
> The meeting included Thomas W. Lamont, acting head of Morgan Bank;
> Albert Wiggin, head of the Chase National Bank; and Charles E.
> Mitchell, president of the National City Bank. They chose Richard
> Whitney, vice president of the Exchange, to act on their behalf.
> .
>  With the bankers' financial resources behind him, Whitney placed a
> bid to purchase a large block of shares in U.S. Steel at a price well
> above the current market. As amazed traders watched, Whitney then
> placed similar bids on other "blue chip" stocks.
> .
>  This tactic was similar to a tactic that ended the Panic of 1907, and
> succeeded in halting the slide that day. In this case, however, the
> respite was only temporary.
> .
>  On Monday, October 28, the first "Black Monday",[20] more investors
> decided to get out of the market, and the slide continued with a
> record loss in the Dow for the day of 13%.
> .
>  The next day, "Black Tuesday", October 29, 1929, about 16 million
> shares were traded.[21][22][23] The volume on stocks traded on October
> 29, 1929 was "...a record that was not broken for nearly 40 years, in
> 1968."[22]
> .
>  Author Richard M. Salsman wrote that on October 29—amid rumors that
> U.S. President Herbert Hoover would not veto the pending Hawley-Smoot
> Tariff bill—stock prices crashed even further."[18] William C. Durant
> joined with members of the Rockefeller family and other financial
> giants to buy large quantities of stocks in order to demonstrate to
> the public their confidence in the market, but their efforts failed to
> stop the slide.
> .
> The DJIA lost another 12% that day. The ticker did not stop running
> until about 7:45 that evening. The market lost $14 billion in value
> that day, bringing the loss for the week to $30 billion, ten times
> more than the annual budget of the federal government, far more than
> the U.S. had spent in all of World War I.[24]
>
> An interim bottom occurred on November 13, with the Dow closing at
> 198.6 that day.
> .
>
>  The market recovered for several months from that point, with the Dow
> reaching a. secondary peak (ie, dead cat bounce) at 294.0 in April
> 1930.
> .
>  The market embarked on a steady slide in April 1931 that did not end
> until 1932 when the Dow closed at 41.22 on July 8, concluding a
> shattering 89% decline from the peak. This was the lowest the stock
> market had been since the 19th century.[25]
>
> [
>
> The crash followed a speculative boom that had taken hold in the late
> 1920s, which had led hundreds of thousands of Americans to invest
> heavily in the stock market, a significant number even borrowing money
> to buy more stock.
> .
> By August 1929, brokers were routinely lending small investors more
> than 2/3 of the face value of the stocks they were buying.
> .
> Over $8.5 billion was out on loan,[26] more than the entire amount of
> currency circulating in the U.S.[citation needed] The rising share
> prices encouraged more people to invest; people hoped the share prices
> would rise further. Speculation thus fueled further rises and created
> an economic bubble.
> .
>  The average P/E (price to earnings) ratio of S&P Composite stocks was
> 32.6 in September 1929,[27] clearly above historical norms. Most
> economists view this event as the most dramatic in modern economic
> history..
> .
> On October 24, 1929 (with the Dow just past its September 3 peak of
> 381.17), the market finally turned down, and panic selling started.
> 12,894,650 shares were traded in a single day as people desperately
> tried to mitigate the situation. This mass sale is often considered a
> major contributing factor to the Great Depression.[28] Some hold that
> political over-reactions to the crash, such as the passage of the
> Smoot-Hawley Tariff Act through the U.S. Congress, caused more harm
> than the crash itself. According to "Thomas K. McCraw, a professor at
> the Harvard Business School," the Smoot-Hawley Tariff Act
> "...exacerbated the problem by preventing Europeans from selling
> enough goods in the United States to earn enough dollars to pay off
> their debts from World War I.[29]
>
> [edit] Official investigation of the Crash
>
> In 1931, the Pecora Commission was established by the U.S. Senate to
> study the causes of the crash. The U.S. Congress passed the Glass-
> Steagall Act in 1933, which mandated a separation between commercial
> banks, which take deposits and extend loans, and investment banks,
> which underwrite, issue, and distribute stocks, bonds, and other
> securities.
> .http://en.wikipedia.org/wiki/Wall_Street_Crash_of_1929
The Stock Market Explained…

Once upon a time in a village, a man appeared and announced to the
villagers that he would buy monkeys for £10 each. The villagers,
seeing that there were many monkeys around, went out to the forest,
and started catching them.

The man bought thousands at £10 and as supply started to diminish,
the  villagers stopped their effort. He then announced that he would
now  buy at £20. This renewed the efforts of the villagers and they
started  catching monkeys again.

Soon the supply diminished even further and people started going back
to their farms. The offer increased to £25 each and the supply of
monkeys became so little that it was an effort to even see a monkey,
let alone catch it!

The man now announced that he would buy monkeys at £50. However,
since  he had to go to the city on some business, his assistant would
now buy  on behalf of him.

In the absence of the man, the assistant told the villagers, “Look at
all these monkeys in the big cage that the man has collected. I will
sell them to you at £35 and when the man returns from the city, you
can sell them to him for £50 each.”

The villagers hurried round with their savings and bought all the
monkeys.

Then they never saw the man nor his assistant again, only bloody
monkeys everywhere!

Now you have a better understanding of how the stock market works.

best read up on how the story ends

http://en.wikipedia.org/wiki/French_Revolution
http://en.wikipedia.org/wiki/October_Revolution
http://en.wikipedia.org/wiki/Iranian_Revolution

On Oct 14, 5:24 am, kangarooistan8  wrote:
> After an amazing five-year run when the world saw the Dow Jones
> Industrial Average (DJIA) increase in value fivefold, prices peaked at
> 381.17 on September 3, 1929.[19]
>
> In 1931, the Pecora Commission was established by the U.S. Senate to
> study the causes of the crash. The U.S. Congress passed the Glass-
> Steagall Act in 1933,
>
> nothing could stop it , nothing was learned  , and  new laws proved
> useless
>
> no amount of bailouts  or lipstick can make a silk purse out of a sows
> ear
>
> a coat of paint or lipstick , does not make an un roadworthy car any
> safer or worth more  money except to the unwary fools , the underling
> problems must be cured before you can rebuild
>
> the USA is doomed as it can no longer afford to fix the foundation
> problems and is forced to borrow money to buy more and more lipstick
> and paint
>
> kangarooistan
> ===========
>
> http://en.wikipedia.org/wiki/Wall_Street_Crash_of_1929
> ..
> The market then fell sharply for a month, losing 17% of its value on
> the initial leg down.
> .
>  Prices then recovered more than half of the losses over the next
> week, only to turn back down immediately afterwards.
> .
> The decline then accelerated into the so-called "Black Thursday",
> October 24, 1929. A record number of 12.9 million shares were traded
> on that day.
> .
>  At 1 p.m. on Friday, October 25, several leading Wall Street bankers
> met to find a solution to the panic and chaos on the trading floor.
> The meeting included Thomas W. Lamont, acting head of Morgan Bank;
> Albert Wiggin, head of the Chase National Bank; and Charles E.
> Mitchell, president of the National City Bank. They chose Richard
> Whitney, vice president of the Exchange, to act on their behalf.
> .
>  With the bankers' financial resources behind him, Whitney placed a
> bid to purchase a large block of shares in U.S. Steel at a price well
> above the current market. As amazed traders watched, Whitney then
> placed similar bids on other "blue chip" stocks.
> .
>  This tactic was similar to a tactic that ended the Panic of 1907, and
> succeeded in halting the slide that day. In this case, however, the
> respite was only temporary.
> .
>  On Monday, October 28, the first "Black Monday",[20] more investors
> decided to get out of the market, and the slide continued with a
> record loss in the Dow for the day of 13%.
> .
>  The next day, "Black Tuesday", October 29, 1929, about 16 million
> shares were traded.[21][22][23] The volume on stocks traded on October
> 29, 1929 was "...a record that was not broken for nearly 40 years, in
> 1968."[22]
> .
>  Author Richard M. Salsman wrote that on October 29—amid rumors that
> U.S. President Herbert Hoover would not veto the pending Hawley-Smoot
> Tariff bill—stock prices crashed even further."[18] William C. Durant
> joined with members of the Rockefeller family and other financial
> giants to buy large quantities of stocks in order to demonstrate to
> the public their confidence in the market, but their efforts failed to
> stop the slide.
> .
> The DJIA lost another 12% that day. The ticker did not stop running
> until about 7:45 that evening. The market lost $14 billion in value
> that day, bringing the loss for the week to $30 billion, ten times
> more than the annual budget of the federal government, far more than
> the U.S. had spent in all of World War I.[24]
>
> An interim bottom occurred on November 13, with the Dow closing at
> 198.6 that day.
> .
>
>  The market recovered for several months from that point, with the Dow
> reaching a. secondary peak (ie, dead cat bounce) at 294.0 in April
> 1930.
> .
>  The market embarked on a steady slide in April 1931 that did not end
> until 1932 when the Dow closed at 41.22 on July 8, concluding a
> shattering 89% decline from the peak. This was the lowest the stock
> market had been since the 19th century.[25]
>
> [
>
> The crash followed a speculative boom that had taken hold in the late
> 1920s, which had led hundreds of thousands of Americans to invest
> heavily in the stock market, a significant number even borrowing money
> to buy more stock.
> .
> By August 1929, brokers were routinely lending small investors more
> than 2/3 of the face value of the stocks they were buying.
> .
> Over $8.5 billion was out on loan,[26] more than the entire amount of
> currency circulating in the U.S.[citation needed] The rising share
> prices encouraged more people to invest; people hoped the share prices
> would rise further. Speculation thus fueled further rises and created
> an economic bubble.
> .
>  The average P/E (price to earnings) ratio of S&P Composite stocks was
> 32.6 in September 1929,[27] clearly above historical norms. Most
> economists view this event as the most dramatic in modern economic
> history..
> .
> On October 24, 1929 (with the Dow just past its September 3 peak of
> 381.17), the market finally turned down, and panic selling started.
> 12,894,650 shares were traded in a single day as people desperately
> tried to mitigate the situation. This mass sale is often considered a
> major contributing factor to the Great Depression.[28] Some hold that
> political over-reactions to the crash, such as the passage of the
> Smoot-Hawley Tariff Act through the U.S. Congress, caused more harm
> than the crash itself. According to "Thomas K. McCraw, a professor at
> the Harvard Business School," the Smoot-Hawley Tariff Act
> "...exacerbated the problem by preventing Europeans from selling
> enough goods in the United States to earn enough dollars to pay off
> their debts from World War I.[29]
>
> [edit] Official investigation of the Crash
>
> In 1931, the Pecora Commission was established by the U.S. Senate to
> study the causes of the crash. The U.S. Congress passed the Glass-
> Steagall Act in 1933, which mandated a separation between commercial
> banks, which take deposits and extend loans, and investment banks,
> which underwrite, issue, and distribute stocks, bonds, and other
> securities.
.
> .http://en.wikipedia.org/wiki/Wall_Street_Crash_of_1929
The Stock Market Explained…

Once upon a time in a village, a man appeared and announced to the
villagers that he would buy monkeys for £10 each. The villagers,
seeing that there were many monkeys around, went out to the forest,
and started catching them.

The man bought thousands at £10 and as supply started to diminish,
the  villagers stopped their effort. He then announced that he would
now  buy at £20. This renewed the efforts of the villagers and they
started  catching monkeys again.

Soon the supply diminished even further and people started going back
to their farms. The offer increased to £25 each and the supply of
monkeys became so little that it was an effort to even see a monkey,
let alone catch it!

The man now announced that he would buy monkeys at £50. However,
since  he had to go to the city on some business, his assistant would
now buy  on behalf of him.

In the absence of the man, the assistant told the villagers, “Look at
all these monkeys in the big cage that the man has collected. I will
sell them to you at £35 and when the man returns from the city, you
can sell them to him for £50 each.”

The villagers hurried round with their savings and bought all the
monkeys.

Then they never saw the man nor his assistant again, only bloody
monkeys everywhere!

Now you have a better understanding of how the stock market works.

best read up on how the story ends

http://en.wikipedia.org/wiki/French_Revolution
http://en.wikipedia.org/wiki/October_Revolution
http://en.wikipedia.org/wiki/Iranian_Revolution