Black Tuesday 1929: the day of the stock market crash
The essentials in 30 seconds
- Black Tuesday was 29 October 1929, the day the Dow lost 11.73% and closed at 230.07.
- Some 16.4 million shares traded, more than the 12.9 million of Black Thursday.
- Monday and Tuesday together removed 23.05% of the Dow on Wall Street.
- The Federal Reserve Bank of New York bought government securities and lowered its discount rate.
- The Dow bottomed at 41.22 on 8 July 1932, 89% below its peak.
Black Tuesday, 29 October 1929, is the day most people mean when they say the stock market crashed. This guide reads that single session in detail, as of October 2026: the points, the percentages, the volume, and what came next. It is one chapter of the 1929 stock market crash, and every figure carries its source.
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What happened on Black Tuesday, 29 October 1929?
On Tuesday, 29 October 1929 the Dow Jones Industrial Average lost 30.57 points, or 11.73%, and closed at 230.07. Some 16.4 million shares traded, more than the record of 12.9 million set on Black Thursday 5 days earlier. Those numbers make Black Tuesday the heaviest session in the sources used here.
Monday had already closed at 260.64 after a loss of 12.82%. The 2 sessions together took 68.90 points off the index, a combined fall of 23.05%. Seen as a pair, Monday and Tuesday explain why historians treat the last week of October as a single event rather than as 2 bad days.
How large was the Black Tuesday fall from the Dow peak?
The Dow stood at 381.17 on 3 September 1929 and at 230.07 after Black Tuesday. That is a gap of 151.10 points, or about 39.6% below the peak, a figure this page calculates from the 2 closes. In 8 weeks the index had lost almost 40% of its value, yet the worst of the fall still lay ahead.
Points and percentages tell different stories. A loss of 30.57 points was 11.73% because the base had already shrunk to 260.64. The same 30.57 points at the September peak would have been about 8%. Percentages therefore compare days fairly, and points show how far an index has travelled.
Why did Black Tuesday hit margin buyers so hard?
Margin explains why a fall of 11.73% mattered so much. Buyers put down 10% and borrowed the rest. In this illustration, a buyer who owns $1,000 of shares with $100 in cash sees the shares fall to $882.70 on Black Tuesday, and the loss of $117.30 exceeds the whole stake.
The page on what caused the 1929 stock market crash weighs credit against other forces, and this section keeps to the mechanics of the day. Lenders asked for more cash or sold the shares, and each sale pushed prices lower for the next buyer. The Federal Reserve History essay notes that call loans fuelled the boom, because banks kept lending to speculators and brokers.
Could the bankers of Black Thursday stop the Black Tuesday fall?
Bankers tried to calm the market before Black Tuesday. Charles Mitchell and a group of bankers publicly bought blocks of shares at high prices in October 1929, and on the first day, Black Thursday 1929, Richard Whitney bid for 25,000 U.S. Steel shares at $205. The Federal Reserve History essay says that effort failed.
The record shows the gap between a gesture and a market. Thursday closed down only 2.09%, yet the following Monday fell 12.82% and Tuesday 11.73%. Prices answered to the weight of selling orders, and a bid for one stock could not offset them across the whole exchange.
How did the three black days of the stock market crash differ?
Each black day had its own signature. On Thursday, 24 October the market lost 11% at the opening bell, then recovered most of it, and the Dow closed down 2.09%. The signature was a scare that bankers contained for 1 session.
On Monday, 28 October the signature was price: a loss of 12.82%. On Tuesday the signature was volume: 16.4 million shares, with a loss of 11.73%. A reader who separates the 3 signatures can tell a panic that fades from a panic that feeds on itself.
How did the Federal Reserve respond after Black Tuesday?
The Federal Reserve Bank of New York acted within days. It bought government securities on the open market, expedited discount window lending, lowered its discount rate, and assured banks that it would supply needed reserves. Banks near the centre of the storm stayed in operation.
Not everyone agreed. The Federal Reserve Board and several Reserve Banks complained that New York had exceeded its authority. The disagreement shows that no single official owned the response, which is one reason historians still debate how much the Fed could have done in the week of Black Tuesday.
What did Black Tuesday lead to in the months that followed?
Black Tuesday was not the bottom. By mid-November 1929 the Dow had lost almost half its value, and it closed at 41.22 on 8 July 1932, 89% below the peak. The long slide, not a single day, produced the loss that took 25 years to repair.
The effects of the crash itself faded within a few months, and by fall 1930 recovery seemed imminent. Then problems in another part of the financial system produced the Great Depression after the 1929 crash, which has its own page. The Dow regained its 1929 closing high on 23 November 1954.
How should a reader use Black Tuesday data today?
Three habits make Black Tuesday data useful. Compare days by percentage, not by points. Read volume next to price, because 16.4 million shares show how many people tried to sell. Check each figure against a primary source such as the Federal Reserve History essay, since popular accounts differ on the details.
As of October 2026 the same habits apply to any fast fall. The EQOS Asia simulator lets you test how a portfolio behaves in a correction and in a crash, and the method page explains the structure score behind it. This page is general information, not investment advice.
See also in this guide
Frequently asked questions
What happened on Black Tuesday 1929?
On 29 October 1929 the Dow lost 30.57 points, or 11.73%, and closed at 230.07, with some 16.4 million shares traded. It followed a loss of 12.82% on Monday, 28 October, so the 2 sessions together removed 23.05% of the index.
Was Black Tuesday the end of the 1929 stock market crash?
Black Tuesday marked the heaviest volume cited here, and the slide ran on. By mid-November 1929 the Dow had lost almost half its value, and it reached 41.22 on 8 July 1932, 89% below the peak. The long decline followed the October days.
How much did the Dow fall from its peak to Black Tuesday?
The Dow closed at 381.17 on 3 September 1929 and at 230.07 on 29 October 1929. The gap is 151.10 points, or about 39.6%, a figure this page calculates from the 2 closes. Most of the fall to the 1932 low still lay ahead.
What did the Federal Reserve do after Black Tuesday?
The Federal Reserve Bank of New York bought government securities on the open market, expedited discount window lending, lowered its discount rate, and assured banks of reserves. The Board and several Reserve Banks complained that New York exceeded its authority, so the response was not unanimous.
Test your knowledge
1. Where did the Dow close on Black Tuesday?
- 230.07
- 260.64
- 381.17
Show the answer
230.07.
2. What percentage did the Dow lose on Black Tuesday?
- 2.09%
- 11.73%
- 23.05%
Show the answer
11.73%.
3. How many shares traded on Black Tuesday?
- 1.2 million
- 8 million
- 16.4 million
Show the answer
16.4 million.
4. How much did Monday and Tuesday remove together?
- 23.05%
- 11.73%
- 39.6%
Show the answer
23.05%.
5. Which institution bought government securities after the crash?
- Bank of England
- Federal Reserve Bank of New York
- Bank of Japan
Show the answer
Federal Reserve Bank of New York.
About the author
Stéphane Jambu
President, EQOS Forecast Asia
Stéphane Jambu leads EQOS Forecast Asia and works as a consultant in e-commerce, search visibility, and AI. LinkedIn profile
Sources: EQOS Asia simulator (eqos-asia.com/simulator.html) and method page (eqos-asia.com/method.html), Federal Reserve History (federalreservehistory.org/essays/stock-market-crash-of-1929), Wikipedia (en.wikipedia.org/wiki/Wall_Street_crash_of_1929), consulted on 22 October 2026. Page updated on 22 October 2026.