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Upset investor reviews stock prices on laptop U.S. stocks lost ground Wednesday as investors processed disappointing earnings from Netflix (NFLX), amid ongoing trade tensions with China and a government shutdown that has paused key economic reporting. The large-cap S&P 500 index fell 0.5%, while the technology-focused Nasdaq Composite and the blue-chip Dow Jones Industrial Average each retreated by 0.9%. After the market close, Tesla reported third-quarter EPS of $0.50. Analysts had expected $0.54. The EV maker did beat revenue expectations ahead of the expiration of federal EV tax credits at year-end. Tesla stock declined 3.5% in after-hours trading. TSLA stock is up 8.7% for the year—which is well behind its Magnificent 7 peers. The Roundhill Magnificent Seven ETF (MAGS) is up 17.5% this year. ForbesCan Investing In Index Funds Help You Retire As A Millionaire?By Catherine Brock MORE FOR YOU Magnificent 7 Earnings Dates Microsoft (MSFT), Alphabet (GOOG), and Meta Platforms (META) report earnings on Oct. 29. Apple (AAPL) and Amazon (AMZN) are set to report on Oct. 30. Investors will wait until Nov. 19 to hear Nvidia’s third-quarter results. Futures Down Ahead Of Market Open Stock futures for the S&P 500, Nasdaq 100 and Dow Jones are down of the market open on Thursday. Contracts tied to the S&P 500 dipped less than 0.1% and Nasdaq 100 futures fell 0.1%. Dow Jones futures also retreated 0.1%. Today’s Trading Lesson How often does the stock market crash? The accepted definition of a stock market crash is a 20% or larger decline in a major market index, like the S&P 500 or the Dow Jones Industrial Average. A smaller decline, on the order of 10% to 20%, is usually called a correction. Downturns below 10% are known as pullbacks or selloffs. Assuming a crash means a 20% or larger reduction in the S&P 500, there have been 13 crashes since 1950, according to IG Wealth Management. Simple math translates 13 crashes over 75 years to one crash every 5.8 years. Another analysis by First Trust Portfolios L.P. identifies 14 crashes since 1942, which yields nearly the same number. The last stock market crash was in 2022. For that calendar year, the S&P 500 was down 18.1%—but the index fell more than 20% between December, 2021 and September, 2022. Importantly, since the bottom of the 2022 crash, the S&P 500 has gained nearly 88%. ForbesUnderstanding Risk Vs. Reward: What Every New Investor Should KnowBy Catherine Brock Takeaways On Stock Market Crashes Stock market crashes happen. If you are investing for retirement or some other long-term goal, you will occasionally see the value of your stocks fall by more than 20%. But if you have a high-quality, diversified portfolio, it will recover and return to growth. Two strategies can minimize the damage. One, stay invested to avoid taking unnecessary losses. And two, buy more shares of good companies when prices are down. This way, you make more on the other side. ForbesBest Stocks To Buy Now For October 2025By Catherine BrockForbes5 Best Dividend Stocks To Buy Now In October 2025By Catherine BrockForbes7 Top Stocks To Buy And Invest In 2025By Catherine Brock Editorial StandardsReprints & Permissions
