Nasdaq · August 3, 1989
The Nasdaq's road back from Black Monday
+56.53%
trough back to the old high
446 trading days · 1987-10-28 → 1989-08-03
this undid the slide that began 1987-08-27
What happened that day?
- From the 28 October 1987 low to 3 August 1989 the Nasdaq rose 56.53% — 446 trading days
- It undid the autumn 1987 decline including Black Monday
- The Fed promised funding right after the crash and the real economy held up, so the recovery itself went smoothly
- But the Nasdaq lagged the exchange-listed market, because the experience of not being able to sell during the crash had cost it trust
- That trust problem is why the Nasdaq's trading rules were substantially rebuilt afterwards
- The old high returned on 3 August 1989
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.