24 October 1929: The Wall Street Crash

On this day in 1929, otherwise known as 'Black Thursday', the Dow Jones Industrial Average fell sharply, and confidence in the banks collapsed.

In the 1920s, the US economy enjoyed a long period of rapid growth and high employment. This was partly down to technological innovation and migration from rural to urban areas. But it was also driven by the wide availability of credit.

By the late 1920s, stock prices were soaring, leading more and more people to pile into the market. Many had bought shares on margin' using only a fraction of the price as a down payment.

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Dr Matthew Partridge
Shares editor, MoneyWeek

Matthew graduated from the University of Durham in 2004; he then gained an MSc, followed by a PhD at the London School of Economics.

He has previously written for a wide range of publications, including the Guardian and the Economist, and also helped to run a newsletter on terrorism. He has spent time at Lehman Brothers, Citigroup and the consultancy Lombard Street Research.

Matthew is the author of Superinvestors: Lessons from the greatest investors in history, published by Harriman House, which has been translated into several languages. His second book, Investing Explained: The Accessible Guide to Building an Investment Portfolio, is published by Kogan Page.

As senior writer, he writes the shares and politics & economics pages, as well as weekly Blowing It and Great Frauds in History columns He also writes a fortnightly reviews page and trading tips, as well as regular cover stories and multi-page investment focus features.

Follow Matthew on Twitter: @DrMatthewPartri