http://www.stratfor.com/news/archiv e/050903-geopolitics_katrina.php Many commentators have noted the market's impressive resilience in the face of adversity. This is not historically unprecedented. When the great San Francisco earthquake hit in April 18, 1906, it took the markets a few weeks to register the costs and economic impact. By May, the markets had fallen 10%. But the full impact was not well understood until the following year, leading to the Panic of 1907, and the Dow took a nearly 50% hit during that period. History buffs will recall the Panic and its aftermath were the impetus for the creation of the Federal Reserve System. (This paper details the economic impact of 1906 Earthquake.) more.... http://econ.claremontmckenna.edu/pa pers/2001-07.pdf