The Kennedy Slide of 1962, also known as the Flash Crash of 1962, is the term given to the stock market decline from December 1961 to June 1962 during the Presidential term of John F. Kennedy. After the market experienced decades of growth since the Wall Street Crash of 1929, the stock market peaked during the end of 1961 and plummeted during the first half of 1962. During this period, the S&P 500 declined 22.5%, and the stock market did not experience a stable recovery until after the end of the Cuban Missile Crisis. The Dow Jones Industrial Average fell 5.7%, down 34.95, the second-largest point decline then on record. Background Following the Wall Street Crash of 1929, speculators became more cautious and reluctant about holding on to stocks for extended periods of time. As a result, there was an increased trend of pooling on the bear side of the market—betting on stock prices to lower—and pushing stock prices down further. These bear raids allowed many Wall Street investors to make fortunes, for adequate regulation of inside information had not yet become established. Joseph P. Kennedy, a famous and prominent bear raider, had gained much of his fortune through trading in stock pools. As his wealth continued to grow, he later entered the political sphere as a strong supporter of Franklin D. Roosevelt. Kennedy eventually became appointed as the chairman of the U.S. Securities and Exchange Commission, a federal agency established by Franklin D. Roosevelt in order to investigate current speculative operations and prevent a downturn like the 1929 crash. During his term as the head of the commission, Kennedy did a thorough job and made a name for both himself and his family. His success and reputation may have eventually helped place his son in the Presidency during the election of 1960. During the time period leading up to the Kennedy Slide of 1962, the economy was experiencing a rapid expansion. From February 1951 to December 1959, the real GDP of the United States had risen significantly. Stock prices had been on a steady rise since the late 1940s, and when John F. Kennedy took office in 1961, he promised that the recovery would continue. After continuing to rise through December 1961, however, the stock market experienced a massive decline. Through June 1962, the S&P 500 experienced a 22.5% decline. The Dow Jones Industrial Average dropped 5.7% on May