Stock Market Crash - DOW Jones PLUNGES

[Caleb]

Dow Plunges 450 Points this morning.

The Nasdaq Composite is nearly triple-digits in the red, meaning the index has lost more than 4% of its value so far today.

If the market closes down 550 points, it will be one of the worst point declines in the Dow Jones Industrial Average in history. The day after Sept. 11, the Dow collapsed 684.81 points, which was the worst point decline in history. The worst percentage decline in the Dow was Oct. 19, 1987, commonly known as Black Monday, when the Dow fell 22.61%.

[Hitman]

I used to follow the markets a little on CNN.

What are the reasons for it falling?

[Jordy]

I haven't researched much into it yet, I'm guessing it's probably a spin-off from last Summer's 'Credit crunch' - However, this is good news for the English, as the FTSE 100 is doing extremely well in the positives out of this

[Corporal]

i dont have a clue about the stock markets, can anyone tell me infomation about them?

[--ss--]

Never heard of them lol?

i dont have a clue about the stock markets, can anyone tell me infomation about them?

The stock market is like a place where you trade shares of a company.
You first buy a share of a company (usually median business doing quite well) eg you might buy 5% of the shares for lets say £200 , You hold onto the shares and every year the company will give you a share of their profits , the more bigger the company gets and more money they make the more you get.
Over time the value of your share will go up and you will be able to sell your share off for a profit to someone.
Company's loose 'points' when alot of people try to sell their shares at once and no one wants to buy so the sellers have to keep lowering their prices until their share becomes pointless.

[-:Undertaker:-]

I used to follow the markets a little on CNN.

What are the reasons for it falling?

Recently the worlds economey has began to slow down, people fear recessions so less people are buying things in the business world. It works like habbo values really, if to many shares are sold and there are'nt enough people to buy them because they fear a recession - the price will drop. The US Credit crunch and the Northern Rock sagas have all stemed from this.