What happened August 1929 AD

The "coffee with milk policy" came to an end and the opposition began articulating a position against the 17 states to elect Júlio Prestes as President. Minas Gerais, Rio Grande do Sul, and Paraíba joined the political opposition from several states, including the Democratic Party of São Paulo, to oppose the candidacy of Júlio Prestes, forming the Liberal Alliance in August 1929.

A minor recession begins, two months before the Stock Market Crash. Steel production and automobile & house sales notably decline, construction stagnates, and consumer debt was reaching dangerous levels on account of easy credit. Over $8.5 billion of margin loans for stocks were outstanding, worth more than all currency circulating in the United States at the time.