Market crashes create profound psychological trauma for traders, as evidenced by Peter Tuchman's account of Black Monday 1987, where stocks fell $100 in a single day, 20 of 70 market-making firms collapsed, and traders experienced such intense fear that they literally dropped to the floor in shock, demonstrating that market crashes are not just financial events but deeply traumatic experiences that can leave lasting impressions on those who witness them.
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📉 What a Stock Market Crash Feels LikeHinzugefügt:
You are the only person who has been here for 41 years. You've seen wars, you've seen presidents get elected, they've come here, shook hands with you.
>> The stock opened at $146.50 and it closed at $44. So, it was down $100. The market closed down, I think, 608 points. People were taking pictures of it. They'd never seen a market down that much. I got here, there were 70 market making firms. I would say we lost 20 of them that day. I just remember everybody at the end of the day literally just dropped to the floor, you know, and just looked at each other. I stayed around till probably 7:00 or 8:00 at night, you know, just kind of shivering and shaking because we had never seen anything like that. That probably was, still to this day, one of the scariest days I've ever experienced on Wall Street.
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