Story: Wellington region

Stock market crash

Stock market crash

Onlookers watch trading at the Wellington Stock Exchange during the 1987 stock market crash. After a period of sustained growth, the Wall Street market in New York dropped sharply in October 1987. The ripples felt like a tsunami in New Zealand. Investors had flooded the share market after the deregulation of the financial markets in 1984 and huge fortunes were made. But the lack of regulation meant some companies over-extended themselves. With the crash, many went bust. Small ‘mum and dad’ investors deserted the share market, which languished until the early 2000s.

Using this item

Alexander Turnbull Library, Dominion Post Collection (PAColl-7327)
Reference: EP/1987/5914/9a-F
Photograph by William West

Permission of the Alexander Turnbull Library, National Library of New Zealand, Te Puna Mātauranga o Aotearoa, must be obtained before any re-use of this image.

All images & media in this story

How to cite this page:

Chris Maclean, 'Wellington region - Economic fall and rise: 1976 to 21st century', Te Ara - the Encyclopedia of New Zealand, (accessed 27 February 2024)

Story by Chris Maclean, updated 1 Aug 2015