What happened to the stock market in October 2008?
What happened to the stock market in October 2008?
From October 6–10, 2008, the Dow Jones Industrial Average (DJIA) closed lower in all five sessions. Volume levels were record-breaking. The DJIA fell over 1,874 points, or 18%, in its worst weekly decline ever on both a points and percentage basis. The S&P 500 fell more than 20%.
What caused the 2008 stock market crash?
The stock market crash of 2008 was as a result of defaults on consolidated mortgage-backed securities. Subprime housing loans comprised most MBS. Banks offered these loans to almost everyone, even those who weren’t creditworthy. When the housing market fell, many homeowners defaulted on their loans.
What stock did well in 2008?
Key Takeaways
| Top 10 Stocks in the S&P 500 by Total Return During 2008 | ||
|---|---|---|
| Company Name (Ticker) | 1-Year Total Return | Industry |
| Dollar Tree Inc. (DLTR) | 60.8% | Discount Stores |
| Vertex Phamaceuticals Inc. (VRTX) | 30.8% | Biotechnology |
| H&R Block Inc. (HRB) | 25.8% | Personal Services |
How long did the 2008 financial crisis last?
The combination of banks unable to provide funds to businesses, and homeowners paying down debt rather than borrowing and spending, resulted in the Great Recession that began in the U.S. officially in December 2007 and lasted until June 2009, thus extending over 19 months.
When did stock market recover after 2008?
The equivalent recovery after the 2008 crash took the S&P 500 1,107 days and the Dow 1,288 days.
What happened in the year 2008 in the stock market?
September 29, 2008: The Dow declines 774 points (6.98%), the largest point drop in history. Also, Citigroup (NYSE: C) acquires Wachovia, then the fourth-largest U.S. bank. October 3, 2008: A reworked $700 billion TARP plan, renamed the Emergency Economic Stabilization Act of 2008, passes a bipartisan vote in Congress.
What happened to the Dow in 2008 on September 29?
The Dow bounced around 11,000 until Sept. 29, 2008, when the Senate voted against the bailout bill. 14 The Dow fell 777.68 points during intraday trading. 15 Global markets also panicked: To restore financial stability, the Fed doubled its currency swaps with foreign central banks in Europe, England, and Japan to $620 billion.
How much did the stock market fall in 2009?
By March 5, 2009, it had dropped more than 50% to 6,594.44. Although it wasn’t the greatest percentage decline in history, it was vicious. The stock market fell 90% during the Great Depression. But that took almost four years. The 2008 crash only took 18 months.
What happened on the 18th of September 2008?
On Thursday, Sept. 18, 2008, markets rebounded more than 400 points. 10 Investors learned about a new bank bailout package.
https://www.youtube.com/watch?v=zwcxnzS0VA0
