Why did investors panic in 1929?

Investors panicked in 1929 primarily due to the Stock Market crash that began on October 24, known as Black Thursday. Overvaluation of stocks, rampant speculation, and economic instability created an unsustainable bubble. When prices started to plummet, fear spread rapidly, leading to massive sell-offs and a loss of confidence in the market. This panic contributed to the onset of the Great Depression, which had devastating effects on the global economy.