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Black monday
Essay specific features
Written by:
Jack Q
Date added:
June 8, 2014
Level:
University
Grade:
A
No of pages / words:
2 / 340
Was viewed:
3927 times
Rating of current essay:
Essay content:
However, the popular explanation for the crash is the selling of program trader, portfolio insurance and the great storm of 1987.
Program trading is the use of computers in stock market to engage in arbitrage and portfolio insurance strategies. Through the 1970s and early 1980s, computers were becoming more important...
displayed 300 characters
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As a result, the market was being controlled more and set prices by computers rather than by investors who made careful deals. It caused the crash of 1987 when the price of stock fall below a preset price, and a programmed computer automatically sells that stock. Millions of shares were carelessly bought and sold during the course two minutes...
displayed 300 characters
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