Black Monday (1894)
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The Bank Crash of 1894 called Black Monday was one of the turning points in Newfoundland's early history that added to the financial woes of Britain’s Oldest Colony when two of the commercial banks of Newfoundland, the Union Bank (established in 1854) and the Commercial Bank (established in 1858), both located in St. John's, Newfoundland, Canada, had closed their doors to the public on December 10, 1894. Both banks never did re-open, with disastrous effects on both trade and commerce in the colony. Trade had come to an abrupt halt and unemployment and destitution became widespread.
The closure of the banks brought Newfoundland to the brink of bankruptcy and resulted in the Canada Newfoundland Confederation talks. It had also highlighted the weakness of its economy and the truck credit system on which it depended.
