Yep, here's more detail

[maxrandb]

the stock market was significantly up before the Great Depression, experiencing a long boom during the "Roaring Twenties" that saw stock prices reach record highs, culminating in a peak just before the crash in October 1929. This period of unprecedented growth, fueled by widespread speculation and buying stocks "on margin" (using borrowed money), created a speculative bubble that ultimately burst, triggering the 1929 stock market crash that helped set the stage for the Great Depression.

The Roaring Twenties and the Stock Market Boom

Rapid Expansion:

The 1920s were a decade of significant economic growth in the U.S., with the stock market expanding rapidly.

Record Highs:

The Dow Jones Industrial Average increased dramatically, with stock prices reaching unprecedented levels by 1929.

Speculative Frenzy:

Many people became convinced that stock prices would continue to rise indefinitely, leading to increased investment, often using borrowed money (buying on margin).

Permanently High Plateau:

The optimism was so high that some, like economist Irving Fisher, declared that stock prices had reached a "permanently high plateau".

Bubble Bursts:

This speculative bubble burst in October 1929, leading to a massive market crash.

Widespread Losses:

The crash resulted in billions of dollars in losses, ruining many investors who had bought on margin and could no longer repay their loans.

Economic Impact:

The stock market crash was a major blow to the economy, causing consumer panic and a sharp decline in purchasing and consumption, which contributed to the deepening economic crisis of the Great Depression.