WhyItDropped

S&P 500 · June 29, 2010

Back into recession?

-3.10%

single-day change vs previous close

Part of a longer stretch

Europe's crisis and the flash crash

near the end of it · 2010-04-23 → 2010-07-02, -15.99% over the whole period

What happened that day?

  • On 29 June 2010 the S&P 500 fell 3.1%
  • US consumer confidence fell far more than expected that day
  • A Chinese leading indicator was also revised down around the same time
  • From here the idea that the 2009 recovery would fall back into recession kept recurring. It was called a double dip
  • Policy-created demand was ending while private demand had not revived
  • No second recession came, but the fear pressed on the market all that summer
  • In this stretch the index was 15.99% 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.