Nasdaq · October 13, 2008
The bank rescue day on the Nasdaq
+11.81%
single-day change vs previous close
Part of a longer stretch
A halving that took seventeen months
near the end of it · 2007-10-31 → 2009-03-09, -55.63% over the whole period
What happened that day?
- On 13 October 2008 the Nasdaq rose 11.81% in a single day
- The reason was Britain and the major European states announcing together over the weekend that they would inject capital into banks and guarantee bank debt. America's own injection came a day later
- Once it was clear banks would not be allowed to fail, the frozen interbank funding market started moving again
- Tech companies look unconnected to banks, but when money stops circulating, advertising and capital spending stop with it
- So the Nasdaq reacted strongly to news about the financial plumbing
- The biggest up-days in a crash usually sit inside the crash. This one was not the end either
Sources
Every figure on this page is recomputed from the original daily closing prices and checked against them at build time. The account of what happened is written from the sources listed above.