The S&P 500 in 1981
The S&P 500 fell 9.7% in 1981, from 135.76 to 122.55; with dividends reinvested, the total return was −4.7%. That ranks 1981 21st-worst of the 98 complete calendar years since 1928.
- Price return
- −9.7%
- Total return
- −4.7%
- Deepest decline in the year
- −18.4%September 25, 1981
- Year-end close
- 122.55December 31, 1981
- Highest close
- 138.12January 6, 1981
- Lowest close
- 112.77September 25, 1981
- Record closes
- 0
- Trading days
- 253
- Best day
- +2.5%March 12, 1981
- Worst day
- −2.9%August 24, 1981
- Shiller CAPE in January
- 9.3
How 1981 unfolded
The highest close of the year was 138.12 on January 6, 1981; the lowest was 112.77 on September 25, 1981.
The deepest fall from a peak within the year was −18.4%, bottoming on September 25, 1981.
No close set a new all-time high.
The best session was March 12, 1981 (+2.5%); the worst was August 24, 1981 (−2.9%).
The U.S. economy was in an NBER-dated recession in 5 months of 1981: August 1981 to December 1981.
The Shiller CAPE stood at 9.3 in January 1981.
Drawdowns that touched 1981
| Drawdown | Peak → trough | Decline | Back at the record |
|---|---|---|---|
| Volcker's Rates and the 1981–82 Recession | November 28, 1980 → August 12, 1982 | −27.1% | November 3, 1982 |
Every decline of 5% or more from a record close that was under way, or still being recovered, during 1981.
What $10,000 at the start of 1981 became
$10,000 invested in the S&P 500 at the start of 1981, with dividends reinvested, grew to $1,509,502 by the end of 2025: 11.8% a year. On price alone, without dividends, it came to $504,186.
FAQ
What was the S&P 500 return in 1981?
The S&P 500 fell 9.7% in 1981, from 135.76 to 122.55; with dividends reinvested, the total return was −4.7%.
How far did the S&P 500 fall in 1981?
Its deepest peak-to-trough decline within 1981 was −18.4%, reaching bottom on September 25, 1981.
Was 1981 part of a bear market?
Yes. 1981 falls inside the 1980–1982 bear market (Volcker's Rates and the 1981–82 Recession), when the S&P 500 fell 27.1% from its record close on November 28, 1980 to its low on August 12, 1982.
Did the S&P 500 hit a record high in 1981?
No. The index never closed above its previous record in 1981.
Data and sources
Daily closes · Calendar-year price returns · Calendar-year total returns · Intra-year declines · Drawdowns from record closes · Shiller CAPE · NBER recession months (via FRED)
Index levels are daily closes. Price return leaves dividends out; total return reinvests them. A past year's page changes only when a later year completes and the rankings move.