Nasdaq · July 15, 1996
The first correction before the bubble
-3.92%
single-day change vs previous close
Part of a longer stretch
The summer 1996 tech correction
near the end of it · 1996-06-05 → 1996-07-24, -16.55% over the whole period
What happened that day?
- The Nasdaq fell 3.92% on the day, near the bottom of this correction
- Internet-related shares had been rising hard since 1995, starting with the listing of a web browser company
- The correction began when several technology firms reported numbers below expectations during the earnings season
- With prices having run ahead, even a small miss produced a large fall
- The decline lasted two months, and the Nasdaq rose for four more years to its March 2000 peak
- Corrections like this happened repeatedly while the bubble inflated. Each recovery became the argument for the next advance
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.