Which date marked the 2020 stock-market crash’s fastest U.S. bear-market decline?
Answer
March 23, 2020
March 23, 2020, marked the low of the 2020 stock-market crash’s fastest U.S. bear-market decline.
The crash developed as the COVID-19 pandemic spread worldwide and governments restricted travel, business activity, and public gatherings. Investors feared a sharp economic contraction, falling corporate earnings, and disruption to global supply chains. The S&P 500 entered a bear market in March after setting a record close on February 19, 2020.
The index reached its closing low for the initial crash on March 23. From the February record to that low, the S&P 500 fell about 34%, and the descent happened in only 33 calendar days. Several sessions were halted by market-wide circuit breakers, including March 9, March 12, March 16, and March 18.
Massive fiscal and monetary responses, including Federal Reserve support and government relief programs, helped stabilize markets. The subsequent rebound was unusually rapid. The March 23 low is distinct from the crash’s earlier circuit-breaker days and from the later economic effects of the pandemic.