The Dow Jones industrial average fell more than a thousand points on Thursday. It wasn’t the largest single-day drop in history, but only because the drop on Monday was bigger. So, thanks to the big drop earlier in the week, Thursday’s was the second-biggest drop in history. This week has so far seen the second-biggest weekly drop in history, coming in slightly behind the week that ended on Oct. 10, 2008. If the Dow drops 214 points on Friday, it will be the worst week in history.
As a function of points, anyway. There have been 149 days in which the Dow fell more than 4.15 percent, the drop experienced on Thursday. There have been 78 weeks in which the Dow fell more than 6.51 percent, which is where it stands for the week. That means, though, that Thursday was worse than 99.5 percent of days in the Dow’s history and this week has been worse than 98.7 percent of weeks. Again: So far.
On Wednesday, President Trump blamed the market’s stumble on good economic news, which is a unique argument.
But he’d better hope the good news that’s driving the markets down ends soon.
As of the end of the day Thursday, the Dow was lower than it’s been on any day since Nov. 28 of last year — meaning that the Dow has lost all of the value it added since that point.
Or, put another way, the Dow Jones industrial average has now lost 40.6 percent of the value it had added since Trump’s inauguration as of the peak it hit on January 26. If the Dow loses another 639 points, it will have shed half the value it added under Trump.
Could it fall another 639 points? Well, in three of the last five trading days, it’s fallen more than that.
So far, the White House seems sanguine about the fluctuations in the market, pointing to the underlying economic metrics that show more stability than the week’s fluctuations in the Dow. That approach is completely fair. But for a president who only last week touted the growth in the markets as an indicator of his policy successes, it’s worth noting when that metric suddenly sinks by more than 40 percent.