On the 30th anniversary of the 1987 stock market crash, U.S. stocks are at a record high and investors are concerned that steep valuations may mean a correction is overdue. Laura Frykberg reports.
October, 2017. And the skies over London Are tinged with a gloom Some say is reminiscent of 30 years ago. When the world witnessed what's now known as the most famous crash in history - Black Monday. (SOUNDBITE) (English) DARREN SINDEN, MARKET ANALYST, PEPPERSTONE, SAYING: "I was a 32 - sorry 22-year-old trader and I hadn't seen anything like that before. It was a hairy day and not one that I would want to repeat very quickly." On October 19, 1987, stocks plunged around the globe. Beginning in Hong Kong, spreading to Europe..And then the U.S. The Dow Jones lost 22.6 percent in just ONE day - the largest EVER daily percentage decline. Not even the losses caused by the 2008 crisis have come close. (SOUNDBITE) (English) DARREN SINDEN, MARKET ANALYST, PEPPERSTONE, SAYING: "It was just a sea of red really, red created further red. Practical things just went out the window. Basically if you could get someone to pick up a phone and make you a price you sold whatever you wanted. " Exactly what caused the crash remains hard to pin down. Reasons vary from speedier transactions, thanks to newly automated trading through computers. To just having more investors and WAYS to invest. Warnings of a repeat performance also come from Those who profit from the industry. The boss of one of the world's largest investment funds Says markets feel dangerously overvalued. With both the Dow Jones and FTSE recently hitting fresh highs weekly. SOUNDBITE (English) IG SENIOR ANALYST, CHRIS BEAUCHAMP, SAYING: "We're in a different world here, we have far greater liquidity across markets, far more interconnectivity in markets and I think if you look at the backdrop it's a far more stable environment, a far more understood market. " Investors no doubt hope another crash isn't looming. If it were - the losses could be much worse. In 1987 the Dow was worth just over 2000 points. Now it's more than ten times that.