The Progressive Party's founder and national hero, Theodore Roosevelt, had in the minds of America sacrificed hundreds of thousands for a lost cause in a far away continent. As a result, the isolationist wings of both the Republicans and the Democrats gained enormous power, amongst them 1928 presidential race winner Hervert Hoover. For the last decade, America had gained unprecedented financial and industrial power, becoming the world's factory and bank. Even the German Empire was deeply connected to Washington's economy by then. The USSR was the only large industrial economy which found itself isolated, owing largely to the Red Scare of anti-communist sentiment, which ocurred both in Germany and America.
In 1928 and in early 1929, America's stock exchanges were reporting enormous, almost impossible gains, especially in the steel and iron sectors. The general public began taking out loans to invest in stocks, or just because credit was extremely cheap. Hervert Hoover's laissez-faire administration opposed any federal intervention in the economy. By mid-1929, it was clear that sales of things like cars, homes, domestic electronics, etc. were falling rapidly. However, it was the 29th of October (dubbed Black Tuesday) when the Wall Street Crash reached its peak. The stock market lost 12% of its value, losing similar amounts over October 24th and October 28th. This event signals the beginning of the Great Depression.