Black Monday redux? Jim Cramer warns of 1987-style market crash

Black Monday stock market crash 2025: The rising macroeconomic uncertainty, escalation of trade war, and fear of the US economy falling into recession induced by US President Donald Trump’s sweeping tariffs on several nations have rattled stock markets across the globe, leading to predictions of Black Monday 2.0 like what happened on Black Monday in 1987.

The term Black Monday is trending on X as netizens are predicting the same situations forming when global markets like the US crashed by 20 per cent. At that time the Dow Jones Industrial Average (DJIA) sank by 22.6 per cent in just one day – the biggest one-day percentage drop in its history. It was triggered by several factors including program trading, overvaluation, global uncertainty, and panic selling.

Before the Black Monday of 1987, markets had seen ominous signs including drops of up to 10 per cent across the globe.