Stocks that went up in 2008 include Dollar Tree, Amgen, Hasbro, Dwight & Church, Celgene, Gilead, Walmart, McDonald’s, Ross Stores, Budweiser, AutoZone and H&R Block. Stocks going up while the market is going down are rare since almost all stocks move in the same overall direction as the market, especially with the reign of index based funds.
Full Answer
What stocks went up in 2008?
Stocks That Went Up in 2008 | Plus ETFs, Bonds, Gold Toward the end of bull markets, it’s smart to see what stocks went up in past bear markets for recession proof investment ideas. Stocks that went up in 2008 include Dollar Tree, Amgen, Hasbro, Dwight & Church, Celgene, Gilead, Walmart, McDonald’s, Ross Stores, Budweiser, AutoZone and H&R Block.
What caused the 2008 stock market crash?
The 2008 market crash was one of the Dow's steepest point drops in history. It occurred on Sept. 29, after Congress rejected the bank bailout bill. The 2008 market crash was one of the Dow's steepest point drops in history. It occurred on Sept. 29, after Congress rejected the bank bailout bill.
What happened in October 2008 in the US economy?
October 2008. Congress finally passed the bailout bill in early October, but the damage had already been done. The Labor Department reported that the economy had lost a whopping 159,000 jobs in the prior month. On Monday, October 6, the Dow dropped 800 points, closing below 10,000 for the first time since 2004.
What were the biggest gainers in the 2008 market crash?
The biggest gainers in the 2008 market crash had a lot in common. A large majority of these were ‘defensive’ stocks, which alludes to stock which are generally considered to not be risky. At a time when the global markets were falling, investors were selling and put their money in these stocks to avoid losing everything.
What stocks rebounded in 2008?
Top 10 Stocks in the S&P 500 by Total Return During 2008Company Name (Ticker)1-Year Total ReturnIndustryDollar Tree Inc. (DLTR)60.8%Discount StoresVertex Phamaceuticals Inc. (VRTX)30.8%BiotechnologyH&R Block Inc. (HRB)25.8%Personal Services7 more rows
What was the stock market at when it crashed in 2008?
On September 29, 2008, the DJIA had a record-breaking drop of 777.68 with a close at 10,365.45.
What the stock market looked like in 2008?
The stock market crash of 2008 occurred on September 29, 2008. The Dow Jones Industrial Average fell by 777.68 points in intraday trading. Until the stock market crash of March 2020 at the start of the COVID-19 pandemic, it was the largest point drop in history.
What investments did well in 2008?
The best performing assets were hedge funds, US treasuries and gold. The worst performing assets were stocks, junk bonds and listed property investments.
Who got rich during the 2008 financial crisis?
Hedge fund manager John Paulson reached fame during the credit crisis for a spectacular bet against the U.S. housing market. This timely bet made his firm, Paulson & Co., an estimated $2.5 billion during the crisis.
How long did it take stock market to recover after 2008?
The S&P 500 dropped nearly 50% and took seven years to recover. 2008: In response to the housing bubble and subprime mortgage crisis, the S&P 500 lost nearly half its value and took two years to recover. 2020: As COVID-19 spread globally in February 2020, the market fell by over 30% in a little over a month.
How much did the stock market drop in 2008 and 2009?
Much of the decline in the United States occurred in the brief period around the climax of the crisis in the fall of 2008. From its local peak of 1,300.68 on August 28, 2008, the S&P 500 fell 48 percent in a little over six months to its low on March 9, 2009.
What triggered the stock market crash of 2008?
The stock market and housing crash of 2008 had its origins in the unprecedented growth of the subprime mortgage market beginning in 1999. U.S. government-sponsored mortgage lenders Fannie Mae and Freddie Mac made home loans accessible to borrowers who had low credit scores and a higher risk of defaulting on loans.
How long did 2008 bear market last?
Between 1928 and 1945 there were 12 bear markets, or one about every 1.4 years....Start and End Date% Price DeclineLength in Days1/4/2002–10/9/2002-33.7527810/9/2007–11/20/2008-51.934081/6/2009–3/9/2009-27.62622/19/2020–3/23/2020-33.923323 more rows
Which stock sectors do best in a recession?
Sectors that tend to perform well during recessionsEnergy.Financials.Health care.Industrials.Information technology.Materials.Real estate.Utilities.More items...
Where is the safest place to put your money during a recession?
1. Federal Bond Funds. Several types of bond funds are particularly popular with risk-averse investors. Funds made up of U.S. Treasury bonds lead the pack, as they are considered to be one of the safest.
What do people buy during a recession?
That said, if you have cash to invest, you may want to consider buying recession-friendly sectors such as consumer staples, utilities and health care. Stocks that have been paying a dividend for many years are also a good choice, since they tend to be long established companies that can withstand a downturn.
What part of the market triggered the recession?
More generally speaking, they all had major exposure to the part of the market that triggered the recession to begin with: the housing market. So far in 2016, the U.S. economy has not shown definitive signs of a recession.
Is Amgen a defensive sector?
Value-oriented retailers like Dollar Tree and Walmart have a huge advantage over premium retailers when consumers are concerned about job security household budgets. Amgen is a leading healthcare name, one of the classic defensive sectors. Other defensive sectors include utilities and food/beverage stocks.
What Factors Will Affect the Stock Market in the Coming Year
Slowdown in Growth. A slowdown in growth is now widely expected. Lower growth will lead to smaller profits and therefore lower earning this will have a negative impact on share prices. However, the lower growth is probably already built into the share prices.
Which is Best Stock Market to Invest In
If you are unimpressed be prospects for the FTSE-100 or Dow Jones in US, you might be better off investing abroad. The Indian Sensex has offered good returns in recent years, some analysts suggest that the potential of the Indian economy means it has a long way further to go.
What stocks grew during the 2008 recession?
Contrary to investor expectations, several growth stocks including Apple Inc. (NASDAQ: AAPL ), Amazon.com Inc (NASDAQ: AMZN ), and Netflix Inc. (NASDAQ: NFLX) grew during the 2008 recession, so investors don't have to ignore growth stocks to be conservative.
Why do businesses flourish during recessions?
There are some businesses that actually flourish during recessions because budget conscious consumers start paying attention to the prices and flock into discount stores or businesses that enable them to complete their DIY projects at a steep discount to services offered elsewhere.
Is Netflix a recession resistant stock?
Currently all three stocks are among the 30 most popular stocks among hedge funds though Netflix is declining sharply in rankings. Investors know that Netflix is recession resistant but they aren't certain that it is Disney+ resistant.
Why did the stock market crash in 2008?
The Dow Jones Industrial Average fell 777.68 points in intraday trading. 1 Until the stock market crash of 2020, it was the largest point drop in history. The market crashed because Congress rejected the bank bailout bill. 2 But the stresses that led to the crash had been building ...
What was the Dow's intraday low in 2008?
The Dow dropped to an intraday low of 11,650.44 but seemed to recover. In fact, many thought the Bear Stearns rescue would avoid a bear market . By May, the Dow rose above 13,000. 1 It seemed the worst was over. In July 2008, the crisis threatened government-sponsored agencies Fannie Mae and Freddie Mac.
What was the Dow Jones open at?
The Dow opened the year at 12,474.52. 1 It rose despite growing concerns about the subprime mortgage crisis. On Nov. 17, 2006, the U.S. Commerce Department warned that October's new home permits were 28% lower than the year before. 3 But economists didn't think the housing slowdown would affect the rest of the economy. In fact, they were relieved that the overheated real estate market appeared to be returning to normal.
When did the bailout bill pass?
20 The Labor Department reported that the economy had lost a whopping 159,000 jobs in the prior month. 21 On Monday, Oct. 6, 2008, the Dow dropped 800 points, closing below 10,000 for the first time since 2004. 22
When did the Dow go up in 2009?
Soon afterward, President Barack Obama's economic stimulus plan instilled the confidence needed to stop the panic. On July 24, 2009, the Dow reached a higher plane. It closed at 9,093.24, beating its January high. 34 For most, the stock market crash of 2008 was over.
Did the Dow Jones crash cause a recession?
Like many other past stock market crashes, it did not lead to a recession. The correction ended in August 2018, and the Dow ended 2018 at 23,327.46. 39 In 2019, it set a record of 27,359.16 in July. 40 It then began declining due to concerns about trade wars initiated by President Donald Trump. 41 .
What happened in 2008?
By the fall of 2008, borrowers were defaulting on subprime mortgages in high numbers, causing turmoil in the financial markets, the collapse of the stock market, and the ensuing global Great Recession.
How much did the Dow drop in 2008?
The Dow would plummet 3,600 points from its Sept. 19, 2008 intraday high of 11,483 to the Oct. 10, 2008 intraday low of 7,882. The following is a recap of the major U.S. events that unfolded during this historic three-week period.
How much credit did Fannie Mae and Freddie Mac extend in 2002?
As of 2002, government-sponsored mortgage lenders Fannie Mae and Freddie Mac had extended more than $3 trillion worth of mortgage credit. In his 2002 book Conquer the Crash, Prechter stated, "confidence is the only thing holding up this giant house of cards.". 2 .
What bank did the FDIC take over?
After a 10-day bank run, the Federal Deposit Insurance Corporation (FDIC) seizes Washington Mutual, then the nation's largest savings and loan, which had been heavily exposed to subprime mortgage debt. Its assets are transferred to JPMorgan Chase (JPM). 8
When did the subprime mortgage market start?
Read on to learn how the explosive growth of the subprime mortgage market, which began in 1999, played a significant role in setting the stage for the turmoil that would unfold just nine years later in 2008 when both the stock market and housing market crashed.
What bank bought Merrill Lynch?
Panic ensued in the money market fund industry, resulting in massive redemption requests. On the same day, Bank of America (BAC) announced it was buying Merrill Lynch, the nation's largest brokerage company.
Which banks are still standing?
Goldman Sachs (GS) and Morgan Stanley (MS), the last two of the major investment banks still standing, convert from investment banks to bank holding companies to gain more flexibility for obtaining bailout funding.
Why did the stock market crash in 2008?
In all, the stock market crash 2008 as a result of a series of events that eventually led to the failure of some of the largest companies in the US.
What was the impact of the 2008 stock market crash?
There is no doubt behind the saying, that the crash pushed the banking system towards the edge of collapse.
What was the Dow value in September 2008?
The day was ended at the Dow value of 11,388.44. On September 20, 2008, the bank bailout bill was sent to Congress by Secretary Paulson and Federal Reserve Chair. The Dow fell to 777.68 points during the intraday trading that increased panic in the Global Market.
How many points did the Dow drop in 2008?
By September 17, 2008, the Dow fell by 446.92 points. By the end of the week on September 19, 2008, the Fed established the Asset-Backed Commercial Paper Money Market Mutual Fund Liquidity Facility that committed to offer loans to banks to buy Commerical paper from the money market funds.
How much did the Fed lose from Lehman Brothers?
By making $85 billion loans for 79.9% equity the Fed took ownership of the AIG. With the collapse of Lehman Brothers, there was a loss of $196 billion that increased the panic among many businesses. Bank has driven up the rates as they were afraid to lend money. By September 17, 2008, the Dow fell by 446.92 points.
What was the fourth cause of the 2008 financial crisis?
The fourth cause of the crash of 2008 was found to be the depression era Glass Steagall Act (1933) that allowed banks, securities firms and other insurance companies to enter into each other’s markets resulting in the formation of the bank that was too big to fail.
What were the causes of the Federal Reserve's crash?
Some of the top reasons for the crash are: Mild Recession in the Federal Reserve. Federal Reserve the Central Bank was facing a mild recession since 2001. The recession period resulted in the reduction of the federal funds rate from 6.5 to 1.75 from May 2000 to December 2001.
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The Bottom Line
- The stock market crash of 2008 was a result of defaults on consolidated mortgage-backed securities. Subprime housing loans comprised most MBS. Banks offered these loans to almost everyone, even those who weren’t creditworthy. When the housing market fell, many homeowners defaulted on their loans. These defaults resounded all over the financial indu...