The Conversation (0)
Ariana Baio
Sep 14, 2022
U.S. Stocks Close Mixed as Market Comeback Rally Pauses
Video
The foreboding words "stock market crash" began trending on Twitter early Wednesday morning leading to concern among people that a sudden recession was impending.
On Tuesday, the S&P 500 and NASDAQ opened and closed lower than it had in a week. The sudden drop led to some concerns from people that the market was headed toward a crash.
"The Nasdaq fell so much today that it is back to the level it was last Wednesday. #stockmarketcrash," Matt Stoller wrote on Twitter.
"U.S stock market in free fall as investors panic. Worst day on Wall St since the 'Covid Crash of 2020'," a Twitter user wrote.
Sign up for our free Indy100 weekly newsletter
Other people criticized President Joe Biden for celebrating the Inflation Reduction Act while the markets were seemingly free-falling.
"Sure glad Biden’s passed the inflation reduction act Today’s stock market crash showed how much confidence we have in it working," Jake Shields tweeted.
But the reality of the panic was a result of fear-mongering, according to other Twitter users.
\u201cIf you're wondering about the #stockmarketcrash "trend", you might be interested to note that in the past 24 hours, it's ~2,350 tweets from ~1,700 accounts. \n\nIt's a junk trend that's also been jumped on by Trump/Q merchants.\n\nThese are the two most retweeted accounts.\n\n1/2\u201d— Botvolution (@Botvolution) 1663144204
One person pointed out that the stock market has been growing since 2020 when it experienced a crash due to the pandemic. Although there have been dips, it is still on the rise.
\u201cHere are 2 unfortunate facts for Trump supporters using the hashtag #stockmarketcrash:\n\n1. The stock market dropped 25% in March 2020\u2026 under a President named Donald J. Trump\n\n2. The stock market is currently still 16.5% higher than it ever was during Trump\u2019s administration\u201d— Dice \ud83c\udfb2 \ud83c\udf3b (@Dice \ud83c\udfb2 \ud83c\udf3b) 1663151165
Another person reminded people that markets traditionally dip in September.
"Over the past 25 years, the S&P 500 has averaged a loss of 0.7% in September, according to data compiled by Bloomberg," an article forBloomberg says.
The September slump is believed to be correlated to a change in behavior due to seasonal change, reassessing portfolios and corporate budgets after the summer, and more.
\u201cHow can you tell it's September without telling people that it's September? #stockmarketcrash #StockMarket\u201d— Pucci Mon (@Pucci Mon) 1663098067
Although the words "stock market crash" can be attributed to any dip in the stock market, most economists agree a true crash is a sudden double-digits drop that leads to a market-wide decline.
Have your say in our news democracy. Click the upvote icon at the top of the page to help raise this article through the indy100 rankings.
Top 100
x