As I drove up the NJ Turnpike this morning, I could not help but to look over at the Manhattan skyline and reflect on a similar drive 8 years ago today and how things have changed since then. For the markets, the Dow closed yesterday at 9627, almost exactly where it was on Sept. 10, 2001.
In the days that followed, the markets were closed as the country mourned the loss of thousands of our brethren. When the markets reopened a week later there was an immediate sell off:
- The Dow closed down 684.81 points or 7.1% at 8920 on 9/17/01, its worst day since 10/27/1997 when it declined 7.2%
- The S&P closed down 53.77 points or 4.92% at 1038.77 on 9/17/01, its worst day since 4/17/2001 when it declined 5.78%
The Nasdaq closed down 115.83 points or 6.83% at 1579.55 on 9/17/01, its worst day since to 1/2/2001 when it declined 7.23%
As the nation rallied back, there was a strong sense of patriotism and along with that, the markets recovered. Going back from the start of the Dow in 1896, 9/11 has historically been a down day for the index, but since 2001, September 11 has been on average an up day for the markets and all the major indices have outperformed their historical averages. Let us remember the past, and look forward to a more positive future.