Home » Stock Market Crashes
Posted on 5 April 2011 | 9,011 views

Bank Stocks After the 1929 Stock Market Crash

During the 1920s, there was an average of 70 banks failing each year nationally. After the crash during the first 10 months of 1930, 744 banks failed – 10 times as many. In all, 9,000 banks failed during the decade of the 30s. It’s estimated that 4,000 banks failed during the one year of 1933 alone. By 1933, depositors saw $140 billion disappear through bank failures.

When a new president, Franklin Delano Roosevelt was inaugurated in March 1933, banks in all 48 states had either closed or had placed restrictions on how much money depositors could withdraw. FDR’s first act as President was to declare a national “Bank Holiday” – closing the banks for a three-day cooling off period. The most memorable line from the President’s speech was directed to the bank crisis – The Only Thing We Have to Fear is Fear Itself.

Some economists and historians have argued that the bank crisis caused the Great Depression. But others have looked at fundamental economic factors and regional histories and argued that banks failed as a result of the economic collapse.

The Depression caused banks to fail, the result was the same for people who had their life savings in the banks – they lost their money. At the beginning of the 30s, there was no such thing as deposit insurance. If a bank failed, you lost the money you had in the bank.

So four years after later in 1933 — here are how some of the bank stocks performed after the October of 1929 stock market crash …

Bankers
October 27, 1929 – $206.00
October 30, 1933 – $50.25

Chase
October 27, 1929 – $223.00
October 30, 1933 – $19.75

Chemical
October 27, 1929 – $114.00
October 30, 1933 – $29.75

City
October 27, 1929 – $463.00
October 30, 1933 – $21.125

Corn Exchange
October 27, 1929 – $366.00
October 30, 1933 – $45.00

Empire
October 27, 1929 – $560.00
October 30, 1933 – $16.25

First National
October 27, 1929 – $7,350.00
October 30, 1933 – $1,115.00

Guaranty
October 27, 1929 – $960.00
October 30, 1933 – $255.00

Irving
October 27, 1929 – $81.00
October 30, 1933 – $14.375

Manhattan
October 27, 1929 – $1,050.00
October 30, 1933 – $21.875

Manufacturers
October 27, 1929 – $214.00
October 30, 1933 – $14.875

New York Trust
October 27, 1929 – $370.00
October 30, 1933 – $79.75

Sources:

The Pittsburgh Press — October 1929
Rochester Evening Journal — October 1933

  • Facebook
  • Twitter
  • Delicious
  • LinkedIn
  • StumbleUpon
  • Technorati
  • Mixx
  • Pinterest
  • Google Plus
  • Reddit
  • BlinkList
  • Blogger
  • Tumblr
  • Digg


Tags: , , , , , , , , , , , , , , , , , , , , , , , , ,

Rate This Article!
1 Star2 Stars3 Stars4 Stars5 Stars (No Ratings Yet)
Loading...Loading...

Leave your response!

Add your comment below, or trackback from your own site. You can also subscribe to comments via RSS.

Be nice. Keep it clean. Stay on topic. No spam.

You can use these tags:
<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>

This is a Gravatar-enabled weblog. To get your own globally-recognized-avatar, please register at Gravatar.

IMPORTANT! You need to solve the following simple math (so we know that you are a human) :-)

What is 8 + 6 ?
Please leave these two fields as-is:
CommentLuv badge

Incoming Search Terms!

1920s stock market crash, The Great Depression Stock Market Crash, banks in 1929, 1920 stock market crash, stock market crash 1920s, market crash of 1929, stock market crash banks, banks closing in 1929, 1929 banks, banks in the 1920s, banks 1920s, 1929 bank, banks fail 1929, banks 1929, how did the stock market crash of 1929 cause about 4 000 banks to fail?, what caused the banks to fail in 1929, What was a result of the bank failures that followed the stock market crash in 1929?, how many banks failed during the stock market crash, how many banks failed when the market crashed