What was the nickname of the October 1989 collapse in U.S. junk-bond and leveraged-buyout markets?

The October 1989 collapse in U.S. junk-bond and leveraged-buyout markets was called the Friday the 13th mini-crash.

On Friday, October 13, 1989, the Dow Jones Industrial Average fell 190.58 points, or about 6.9%. The decline followed the collapse of a proposed leveraged buyout of United Airlines. Investors feared that the failure would damage the market for high-yield bonds and highly leveraged corporate deals, which had expanded rapidly during the 1980s.

The event was much smaller than the 1987 Black Monday crash, but it showed how financing conditions and deal-making could affect stock prices beyond the companies directly involved. It also reflected broader concerns about banks, corporate debt, and the sustainability of leveraged acquisitions.

The mini-crash is sometimes overlooked because it occurred only two years after Black Monday and because the market recovered comparatively quickly. It should not be confused with Friday the 13th dates associated with unrelated financial panics or with Silver Thursday, the 1980 Hunt brothers’ silver-market collapse.