Historical Thought for the Day
March 24, 2010
Thought for the day:
Many businesses are better off than ever. Take red ink for instance. Who doesn't use it?
–Eddie Cantor, Yoo-Hoo, Prosperity! (Simon & Schuster, New York, 1931; reprinted, Fraser Publishing Co., Burlington, VT, 1992), p. 13.
This Day in financial history:
1777: The U.S. foreign debt is born, as the Farmers General of France, a group that collects taxes from French citizens on salt, tobacco and other products, agrees to lend the United States 2 million livres (roughly $381,000 at the time). The loan is repayable in bales of tobacco.
Source: William G. Anderson, The Price of Liberty: The Public Debt of the American Revolution (University Press of Virginia, Charlottesville, 1983), p. 4.
1995: The Standard & Poor's 500-stock index finally closes above 500 for the first time, 3 1/4 long years after breaking the 400 barrier. The index finishes the day at 500.97.
Source: David M. Blitzer, chief investment strategist, Standard & Poor's Corp.
1998: The Standard & Poor's 500-stock index closes above 1100 for the first time, a mere two months after breaking the 1000 barrier. The index finishes the day at 1105.65.
Source: David M. Blitzer, chief investment strategist, Standard & Poor's Corp.
2000: The Standard & Poor's 500-stock index sets a new record high of 1527.46, reaching a total market value of $12.931 trillion. Over the next year, it proceeds to lose 24% of its value, or roughly $2.5 trillion.
Source: "Standard & Poor's U.S. Indices: First-Quarter 2001 Update," Standard & Poor's, April, 2001, http://www.spglobal.com/USIndices_2001_Q1Update.pdf
Source: Jason Zweig
