What are some comments that can be made on this? The stock market crash of 2020 is the largest index point plunge in U.S history. Starting March 9 2020, the Dow Jones Industrial Average index suffered one of three point drops. This is sufficient because stock market indexes are a measure of market sentiment. The most common stock indexes are the Dow Jones industrial average, S and P 500, and the Nasdaq stock market composite. The Dow Jones index is price averages while the s and p 500 and the nasdaq stock market composite are market capitalization weighted. When the Dow Jones drops 20.3% in a matter of days, this meant that there were negative market sentiment factors at play. At the time before this occurrence, the threat of the corona virus had investors worried. There would soon be a shutdown which would cause record unemployment and would significantly decrease purchasing power. This caused investors to move their capital into safer investments. In this case it was the bond market. Bond yields became inverted which suggest that investors require more return in the short term rather than the long turn. This caused investors to become even more antsy ushering in the recession of 2020.
What are some comments that can be made on this?
The stock market crash of 2020 is the largest index point plunge in U.S history. Starting March 9 2020, the Dow Jones Industrial Average index suffered one of three point drops. This is sufficient because stock market indexes are a measure of market sentiment. The most common stock indexes are the Dow Jones industrial average, S and P 500, and the Nasdaq stock market composite. The Dow Jones index is price averages while the s and p 500 and the nasdaq stock market composite are market capitalization weighted. When the Dow Jones drops 20.3% in a matter of days, this meant that there were negative market sentiment factors at play. At the time before this occurrence, the threat of the corona virus had investors worried. There would soon be a shutdown which would cause record
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