Black monday was 39 years ago -

It’s hard to believe that 39 Years ago today we lived through the worst stock market crash in history.

Black Monday – October 19, 1987 – when the DOW crashed 22.6% in one day…a total of 506 points, was nothing short of chaos.

Most of us were stunned.

Others panicked, screaming about how they can’t get a response to know if their sell orders went through.

And for many, their sell orders were never executed.

Why?

Because Mutual Funds like Fidelity Magellan (the largest fund in 1987 with approximately $11 Billion in assets*) could NOT sell their shares because there were no bids – no buyers.

(Note: The largest traditional mutual fund today is the Vanguard Total Stock Market Index Fund, holding over $1.8 trillion to $2.1 trillion in assets under management is 100 TIMES the size* of the Magellan fund in 1987)

So, if in 1987 you tried to sell your mutual fund you would have waited up till two weeks to know what price you received.

And that’s only a sampling of the madness that occurred 39 years ago today.

We need some perspective here.

Because a 22.6% drop in today’s DOW would be over 11,500 points in one day.

Can you imagine how people today would react to a massive drop of well over 11,500 points in one day?

Ironically (or NOT) when I called two friends of mine – we were all brokers together in the same office on October 19, 1987 – to reminisce the Black Monday madness, neither of my friends realized it was 39 years to the date that we stared at our computer screens in disbelief.

Maybe it’s an age thing.

Or, maybe it’s because we tend to block out bad memories.

Or, maybe, Just Maybe, we’re overwhelmed every day with Political Corruption, Inflation, Increasing Censorship, loss of liberties, Fear of AI taking over the world and the prospect of WW3 becoming a reality with the added fear of it being a nuclear war, that we end up burying our face in our smart phones as a defense against the painful truths we’re facing.

On the day after Black Monday, the New York Times ran the following front page:

Look at the articles on the front page and see if you recognize anything familiar:

The Stock markets are in turmoil
The US and Iran are fighting
And a white guy is in trouble for shooting joggers in “gun-free” NYC.

It kinda gives new meaning to the saying, “The more things change, the more they stay the same.”

Having said that I’ll remind you that things are changing at a mind-numbing pace…especially when it comes to the financial world.

And despite all the fear mongers out there calling for a crash like 39 years ago, we believe the DOW is getting ready to make new highs.

Yes, you read that right.

This is regardless of what happens during the midterm elections and/or the fact that Europe is broke and will most likely start the war with Russia as early as November.

And if you haven’t read this month’s Short and Sweet Tips column (HERE) where we highlight specific strategies to prosper from new highs in the DOW, then go (HERE) now.

You’ll thank us later.

Share this with a friend…especially if they are old enough to remember Black Monday…39 years ago today. They’ll thank YOU later.

It’s hard to believe that 39 Years ago today we lived through the worst stock market crash in history.

Black Monday – October 19, 1987 – when the DOW crashed 22.6% in one day…a total of 506 points, was nothing short of chaos.

Most of us were stunned.

Others panicked, screaming about how they can’t get a response to know if their sell orders went through.

And for many, their sell orders were never executed.

Why?

Because Mutual Funds like Fidelity Magellan (the largest fund in 1987 with approximately $11 Billion in assets*) could NOT sell their shares because there were no bids – no buyers.

(*Note: The largest traditional mutual fund today is the Vanguard Total Stock Market Index Fund, holding over $1.8 trillion to $2.1 trillion in assets under management is 100 TIMES the size of the Magellan fund in 1987)

So, if in 1987 you tried to sell your mutual fund you would have waited up till two weeks to know what price you received.

And that’s only a sampling of the madness that occurred 39 years ago today.

We need some perspective here.

Because a 22.6% drop in today’s DOW would be over 11,500 points in one day.

Can you imagine how people today would react to a massive drop of well over 11,500 points in one day?

Ironically (or NOT) when I called two friends of mine – we were all brokers together in the same office on October 19, 1987 – to reminisce the Black Monday madness, neither of my friends realized it was 39 years to the date that we stared at our computer screens in disbelief.

Maybe it’s an age thing.

Or, maybe it’s because we tend to block out bad memories.

On the day after Black Monday, the New York Times ran the following front page:

Look at the articles on the front page and see if you recognize anything familiar:

The Stock markets are in turmoil

The US and Iran are fighting

And a white guy is in trouble for shooting joggers in “gun-free” NYC.

It kinda gives new meaning to the saying, “The more things change, the more they stay the same.”

Having said that I’ll remind you that things are changing at a mind-numbing pace…especially when it comes to the financial world.

And despite all the fear mongers out there calling for a crash like 39 years ago, we believe the DOW is getting ready to make new highs.

Yes, you read that right.

This is regardless of what happens during the midterm elections and/or the fact that Europe is broke and will most likely start the war with Russia as early as November.

And if you haven’t read this month’s Short and Sweet Tips column (HERE) where we highlight specific strategies to prosper from new highs in the DOW, then go (HERE) now.

You’ll thank us later.

Share this with a friend…especially if they are old enough to remember Black Monday…39 years ago today. They’ll thank YOU later.

And tell them:

We’re Not Just About Finance

But we use finance to give you hope.

“And you shall know the truth, and the truth shall make you free.”

~John 8:32~

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(Note: The largest traditional mutual fund today is the Vanguard Total Stock Market Index Fund, holding over $1.8 trillion to $2.1 trillion in assets under management is 100 TIMES the size* of the Magellan fund in 1987)