Quiz yourself on bear markets

At this time last year, the stock market was in the middle of bear market. From Feb. 19 to March 23, 2020, the U.S stock market (S&P 500) lost 34%. The stock market recovered all of its losses five months later on Aug. 18, 2020.

How does that bear market compare to bear markets in the past? What are the chances of another bear market occurring? Put your knowledge of bear markets to the test and take this quiz. To see how well you did, you can find the answers at www.capitalwealthmngt.com.

1. A bear market occurs when the stock market declines at least how much from its previous high?

A. 10%

B. 20%

C. 30%

2. Since 1929, there have been a total of how many bear markets?

A.6

B. 13

C. 26

3. From 1929 to 2020, the average bear market lost how much?

A. -24.9%

B. -29.4%

C. -37.9%

4. Where does the stock-market loss of 33.9% from Feb.19, 2020, to March 23, 2020, rank as the largest percentage bear-market loss since 1929?

A. 4th

B. 8th

C. 12th

5. During the Great Depression, from 1929 to 1932, the U.S. stock market lost how much? A. 66%

B. 76.1%

C. 86.2%

6. Since 1929, it has taken the U.S. stock market an average of how many years to recover from its bear-market losses.

A. 1.1 years

B. 2.2 years

C. 3.3 years

7. True or false: The stock market’s 12.9% loss on March 16, 2020, was the its largest one-day percentage loss.