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Glossary
Macro & Markets
Stock Market Crash
A stock market crash occurs when stock indexes suffer an accelerated and disorderly decline resulting in material losses (on paper) for investors. Crashes typically follow a period of over-inflated asset prices (bubbles) when investors sensing prices have reached a top start selling, which feeds on itself leading to a stampede for the exit. Crashes can also follow regulatory changes, political or geopolitical events, or natural disasters