The 2010 Flash Crash’s steepest market decline lasted about 36 minutes, according to the U.S. Securities and Exchange Commission.
On May 6, 2010, major U.S. stock indexes plunged rapidly and then recovered much of the loss before the trading day ended. The Dow Jones Industrial Average briefly fell nearly 1,000 points, while many individual securities experienced extreme and short-lived price movements.
Investigations found that high-frequency trading and a large sell order in E-mini S&P 500 futures played important roles in the event’s mechanics. The market’s fragmented structure and automated responses amplified the initial pressure. Later research and official reports examined how algorithms interacted during the episode.
The crash led U.S. regulators and exchanges to introduce or strengthen safeguards, including single-stock circuit breakers and market-wide limit mechanisms. It was not the same as a traditional multi-month bear market: the defining feature was its extraordinary speed and partial intraday reversal.