The Dow Jones Industrial Average experienced a remarkable 15.3% increase on March 13, 1933, due to President Roosevelt's measures to end a banking panic during the Great Depression. This one-day record indicates a potential increase of 6,700 points today if replicated. Current concerns about tariffs and their inflationary effects suggest the possibility of U.S. inflation nearing 10%, which could adversely impact consumer spending and GDP growth. A prolonged recession could follow, mirroring the Great Recession's duration.
The Dow Jones Industrial Average rose 15.3% on March 13, 1933, marking an all-time one-day record; today's similar increase would push it up by 6,700 points.
The 1933 jump was triggered by President Roosevelt’s actions to quell a Great Depression bank panic through a bank holiday, restoring faith in the bank system.
Concerns about tariffs suggest inflation could rise to near 10%, with the Cato Institute estimating it at 9.5%, impacting consumer budgets.
Tariffs are viewed as taxes on consumer goods, undermining household budgets and decreasing consumer spending, which drives GDP and can lead to recession.
Collection
[
|
...
]