US stock markets tumble on 'Black Monday' anniversary
{{date|October 20, 2007}}
{{Article-audiobrief|filename=Audio_Wikinews_Brief_2007-10-21.ogg|commonsurl=http://upload.wikimedia.org/wikipedia/commons/f/f9/Audio_Wikinews_Brief_2007-10-21.ogg|align=right}}
Some say history tends to repeat itself. Today marked a day in history, when 20 years ago, the [[United States]] [[w:Dow Jones Industrial Average|Dow Jones Industrial Average]] market crashed, on what is known as '[[w:Black Monday (1987)|Black Monday]]'. The crash sent the market tumbling down 508 points, losing nearly 24%. On Friday, the Dow Jones nearly broke that record when the market closed at -366.94 points, down almost three percent.

Several factors could be to blame for the loss, one being [[Turkey]]'s government approving a measure  on October 18 to send Turkish troops into [[Iraq]] in an attempt to take out militants of the [[w:Kurdistan Workers Party|Kurdistan Workers Party]] (PKK). This sent oil prices skyrocketing to the highest prices in history, with the highest record being just over [[w:United States Dollar|US]]$89.00, which was set on October 18.

Fears that the housing market in the U.S. has come to a standstill has also lead [[w:Caterpillar Inc.|Caterpillar Inc.]], which manufactures and sells construction equipment to issue a warning that the standstill would cause profits to drop, and the American economy to be severely hurt. On Friday their stocks lost nearly six percent to close at $73.57.

Investors and experts of the markets are disturbed by the losses calling the situation ugly.

"It's pretty ugly. A company like Caterpillar should be a poster child for global growth and benefits of the weak dollar. It makes you question: Is global growth really that strong? Has the earnings kick from the weak dollar played itself out?" said Bell Curve Trading chief strategy expert, Bill Strazzullo.

Others believe that the losses were a way of emotionally responding to the events of 'Black Monday.'

"Some of the earnings reports were a little disappointing but not that bad. I think we're responding emotionally to the 20th anniversary of the October 1987 stock market crash. I'd like to laugh except it hurts," said T Rowe Price Head trader, Andy Brooks.

The [[w:NASDAQ|NASDAQ]] also took heavy losses to close down 74.15 points or -2.64%, closing at 2,725.16. The [[w:S&P 500|S&P 500]] was also hit hard, losing 39.45 points, or -2.56%, closing at 1,500.63.

{{haveyoursay}}
==Related News==
*{{wikinews|title=Turkish Parliament approves military action in Iraq|date=October 18, 2007}}

== Sources ==
*{{source|url=http://news.bbc.co.uk/2/hi/business/7053788.stm
|title=Dow Jones tumbles on credit fears
|author=
|pub=BBC News
|date=October 19, 2007}}
*{{source|url=http://ap.google.com/article/ALeqM5gHs5OM3gFG_DytQQZFbWfgPT08MAD8SCH22G0
|title=Stocks Slump; Dow Falls Over 360 Points
|author=Tim Paradis
|pub=Associated Press
|date=October 19, 2007}}
*{{source|url=http://afp.google.com/article/ALeqM5i_SgUQQUzpI3bm9u8Lg3ZAN7SfHA
|title=Oil prices swing close to record levels
|author=
|pub=AFP
|date=October 18, 2007}}

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[[Category:Economy and business]]
[[Category:Turkey]]
[[Category:Iraq]]
[[Category:United States]]
[[Category:2008 financial crisis]]
[[Category:Stock market]]
[[Category:North America]]
[[Category:Europe]]
[[Category:Asia]]
[[Category:Middle East]]
[[Category:Kurdistan Workers' Party]]
Some say history tends to repeat itself. Today marked a day in history, when 20 years ago, the United States Dow Jones Industrial Average market crashed, on what is known as 'Black Monday'. The crash sent the market tumbling down 508 points, losing nearly 24%. On Friday, the Dow Jones nearly broke that record when the market closed at -366.94 points, down almost three percent.

Several factors could be to blame for the loss, one being Turkey's government approving a measure  on October 18 to send Turkish troops into Iraq in an attempt to take out militants of the Kurdistan Workers Party (PKK). This sent oil prices skyrocketing to the highest prices in history, with the highest record being just over US$89.00, which was set on October 18.

Fears that the housing market in the U.S. has come to a standstill has also lead Caterpillar Inc., which manufactures and sells construction equipment to issue a warning that the standstill would cause profits to drop, and the American economy to be severely hurt. On Friday their stocks lost nearly six percent to close at $73.57.

Investors and experts of the markets are disturbed by the losses calling the situation ugly.

"It's pretty ugly. A company like Caterpillar should be a poster child for global growth and benefits of the weak dollar. It makes you question: Is global growth really that strong? Has the earnings kick from the weak dollar played itself out?" said Bell Curve Trading chief strategy expert, Bill Strazzullo.

Others believe that the losses were a way of emotionally responding to the events of 'Black Monday.'

"Some of the earnings reports were a little disappointing but not that bad. I think we're responding emotionally to the 20th anniversary of the October 1987 stock market crash. I'd like to laugh except it hurts," said T Rowe Price Head trader, Andy Brooks.

The NASDAQ also took heavy losses to close down 74.15 points or -2.64%, closing at 2,725.16. The S&P 500 was also hit hard, losing 39.45 points, or -2.56%, closing at 1,500.63.
Economy and business Turkey Iraq United States 2008 financial crisis Stock market North America Europe Asia Middle East Kurdistan Workers' Party