Market Crash

A market crash is a sudden and significant decline in the value of financial markets, particularly stock markets, often characterized by a rapid drop in prices. This decline can occur over a short time frame, often within a single day or few days, and is typically triggered by widespread panic among investors, economic downturns, corporate bankruptcies, or geopolitical events. A market crash may lead to a recession and can have widespread implications for the economy, affecting consumer confidence, investment strategies, and financial stability. The severity of a market crash is often measured by percentage declines in market indices, such as the Dow Jones Industrial Average or the S&P 500, and can result in substantial financial losses for investors.