WhyItDropped

Nasdaq · March 10, 2009

The day after the bottom

+7.07%

single-day change vs previous close

Part of a longer stretch

Thirteen months that doubled off the bottom

early in it · 2009-03-09 → 2010-04-23, +99.44% over the whole period

What happened that day?

  • On 10 March 2009 the Nasdaq rose 7.07% in a single day
  • The day before, 9 March, was the final low of the crisis decline
  • An internal memo revealing that a large US bank had been profitable in the first two months of the year changed the mood
  • Until then the market had been pricing in nationalisation of the big banks — meaning the shares could go to zero
  • Confirmation that the bank was actually making money took the worst case off the table
  • The advance that started here ran to the old high in April 2015

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.