WhyItDropped

S&P 500 · July 19, 2022

The summer earnings held up

+2.76%

single-day change vs previous close

Part of a longer stretch

The 2022 inflation bear market

near the end of it · 2022-01-03 → 2022-10-12, -25.43% over the whole period

What happened that day?

  • On 19 July 2022 the S&P 500 rose 2.76%
  • Second-quarter results were arriving in bulk, and they were not as bad as feared
  • When prices rise, company revenues rise too. Firms that can pass costs on may even earn more
  • So an inflationary period pulls sectors far apart. Only the companies that cannot raise prices get squeezed
  • No single trigger can be pinned to this day
  • In this stretch the index was 22.77% below its peak
  • The summer rally topped out in mid-August

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.