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Yesterday was the best day for the stock market in five years, but this week, we're celebrating the 75th anniversary of the best day ever.

Well, technically it wasn't a one-day gain. When FDR became president on March 4, 1933, there was a national bank holiday. The stock exchange shut down at didn't reopen until March 15. When trading resumed, stocks soared. The Dow closed at 62.1 which was a 15.34% gain over the close from 12 days before.

The Dow has never done better. By contrast, yesterday's move doesn't rank in the top 150. The rally of March 1933 was so strong that the Dow doubled by July.

In March 1933, the U.S. effectively ended the gold standard. It's interesting that yesterday's rally was sparked, in part, by the Fed's securities-lending program.

Posted by edelfenbein at March 12, 2008 7:17 AM