2001 Review: Stocks Stuck in the Back Seat

Market watchers have spent most of the past year trying to find the right historical context for the dramatic declines the major averages suffered. As it turns out, stocks are probably the last thing anyone will remember about 2001.

That's because of the succession of almost surreal events that attended the year's final quarter, including the Sept. 11 terrorist attacks, the war in Afghanistan and the onset of a full-blown recession. While the decline in the equity markets has been substantial, the pain has been supplanted by a more immediate concern for job security, as well as interest in the measures being pursued by the Fed and federal government to bring the economy back.

But stocks have also become less of a story because, quietly and reassuringly, the averages have shown remarkable resilience amid the upheaval. ...