Stock Markets Exposed - leading events up to the stock market crash?

leading events up to the stock market crash?

what are some events that led up to the stock market crash? please any help would be greatly appreciated!

Your answer...I took this direct quote from wikipedia... "The crash followed a speculative boom that had taken hold in the late 1920s, which had led hundred 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.[citation needed] Over $8.5 billion was out on loan, more than the entire amount of currency circulating in the U.S.[8] 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,[9] clearly above historical norms. Most economists view this event as the most dramatic in modern economic history." ..So, the idea of "what goes up must come down" applies in the stock market. When it started plummeting people panicked and sold stocks as rapidly as they bought them. This made prices drop more and more, till the market crashed.