Nasdaq · August 5, 2024
What was bought on borrowed money went first
-3.43%
single-day change vs previous close
What happened that day?
- On 5 August 2024 the Nasdaq fell 3.43%
- It began with the Bank of Japan's rate rise, which turned the borrow-cheap-yen trade into a loss
- When you have to repay, you sell what is easiest to price and what has risen most. In 2024 that was big tech
- A weak US payrolls report the same week piled on, and doubts about AI spending had already been there since July
- So this was not a new fall but the last leg of one that had been running since mid-July
- From the peak the index was down 13.15%
- The bounce was quick and the index made a new high before the year ended
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.