Don't Call It A Crash - But The Stock market bust Dow Jones drops 1000 points for the first time in history on Monday.After months of witnessing an historic climb in the stock market the seemingly inevitable has happened as predicted as the Dow Jones drops 1000 points. The abundance investors had enjoyed from this affluent rise that seemed to have no end has had one large reality check. Google stock which has enjoyed an overall rise since the very beginning of the company's creation suffered 40 million in losses to its prestigious market cap equaling 80 billion in losses to investors of Google's parent company Alphabet Inc. (or should I say Umbrella Inc. or perhaps Skynet). Now we know the ads on the internet reporting to us that "expert investors predict crash" were at least a little bit more than just gimmicks. Alphabet as giant as they may be lost only a fraction of what the overall Dow Jones experienced. The Dow Jones Industrial Average lost over 500 billion dollars in value as a result of this record-breaking drop. Even the favorite cryptocurrency of many Bitcoin dropped approximately 23% and shed around 18 billion in market value. Proportional to the overall value of the Dow index 1000 points is actually a fairly small percentage. As the market continues to increase overall the change in point value on any given day becomes less significant. Therefore the number of points lost as striking as it sounds does not technically constitute a crash. The definition of a crash is 20% or larger drop. The 1,000 point record drop actually pales in comparison to any of the prior recent crashes we have witnessed including:
- The 2008 Lehman Brothers' collapse
- The 1929 Black Tuesday crash
- The 1987's Black Monday crash
- The-com bust in 2000 or
- The 2008 financial crisis.