Nasdaq · April 18, 2001
Another surprise cut
+8.12%
single-day change vs previous close
Part of a longer stretch
Seven weeks bought by rate cuts
early in it · 2001-04-04 → 2001-05-22, +41.19% over the whole period
What happened that day?
- The Nasdaq rose 8.12% on the day
- The Fed held an unscheduled meeting and cut by half a point, its fourth cut of the year
- Moving outside a scheduled meeting signals urgency. The market read it as the Fed committing to hold things up
- The bottom of this phase had come two weeks earlier on 4 April. From there the index rose more than a quarter over seven weeks
- The largest rally of the whole dot-com collapse starts here
- It ended in late May, though, because rates could not fix excess capacity
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.