WhyItDropped

S&P 500 · June 13, 2022

The day it became a bear market

-3.88%

single-day change vs previous close

Part of a longer stretch

The 2022 inflation bear market

midway through · 2022-01-03 → 2022-10-12, -25.43% over the whole period

What happened that day?

  • On 13 June 2022 the S&P 500 fell 3.88%
  • The May inflation reading released the previous Friday was a forty-year high, breaking the hope that inflation had peaked
  • That day the index fell twenty percent below its high, formally entering a bear market
  • The market immediately redid its arithmetic, now expecting the Fed to raise by three steps at once
  • Two days later it did exactly that — the first such move since 1994
  • A single inflation reading pushed the index into a bear market
  • In this stretch the index was 22.77% below its peak

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.