WhyItDropped

Nasdaq · November 10, 2000

The days with no election result

-5.35%

single-day change vs previous close

Part of a longer stretch

Nine months down without a rest

midway through · 2000-07-17 → 2001-04-04, -61.66% over the whole period

What happened that day?

  • The Nasdaq fell 5.35% on the day
  • Two days after the election nobody knew who had won. A recount was under way in one state
  • The result was finally settled five weeks later by a court decision
  • When that state persists, companies postpone decisions. Without knowing where tax and regulation will land, investment cannot be committed
  • Warnings from large technology firms continued the same week. Politics and earnings landed together
  • The Nasdaq lost close to a third over these two months

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.