COVID Crash 2020
On March 16, 2020, the S&P 500 fell 12% in a single session — one of the worst days in market history — as COVID-19 lockdowns shuttered the global economy. The VIX fear index hit an all-time high of 82.
Was This Written in the Numbers?
Universal Year 4 enforces structural reckoning. When excess has built up, the 4 year forces systems back to solid ground. Market crashes in 4 years strip away what was built on sand and demand rebuilding on honest foundations.
What the Numbers Said
The Federal Reserve cut rates to zero and launched unlimited QE within days. The S&P 500 recovered all losses by August 2020 and went on to all-time highs. The fastest bear-to-bull recovery in history.
Extraordinary policy responses can shorten market cycles dramatically. The 2020 crash compressed a typical recession into 33 days — and planted the seeds of the inflation crisis that followed.