Stock market collapse

A stock market collapse refers to a sudden and significant decline in stock prices across a wide market, often triggered by economic factors, investor panic, or external events. This can lead to a loss of confidence among investors, causing them to sell off shares rapidly. As prices plummet, businesses may face challenges accessing capital, which can result in layoffs, reduced spending, and economic downturns. Collapses can be driven by factors such as high inflation, rising interest rates, or geopolitical tensions, impacting not just investors, but the broader economy and everyday people's financial wellbeing.