Nasdaq · October 21, 1987
The Nasdaq two days after Black Monday
+7.35%
single-day change vs previous close
Part of a longer stretch
Black Monday on the Nasdaq
near the end of it · 1987-08-27 → 1987-10-28, -35.96% over the whole period
What happened that day?
- On 21 October 1987 the Nasdaq rose 7.35% in a single day
- Black Monday had been two days earlier
- The morning after the crash the Fed promised to supply whatever liquidity the system needed, and the settlement risk cleared
- On the Nasdaq many holders had been unable to sell at all on the crash day because dealers were unreachable
- Once trading worked again, held-back selling and bargain buying collided and the index jumped
- The Nasdaq's low, though, was a week later on 28 October, and recovery took nearly two years
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.