22 October 1962: Start of the Cuban missile crisis
On this day in 1962, the Kennedy administration issued its famous ultimatum – either the USSR removes its nuclear weapons from Cuba, or else.
After the Second World War, the nuclear willy-waving contest known as the arms race took off in earnest, with Nato and the Warsaw Pact countries stocking up on atomic bombs like they were going out of fashion. In the early 1960s, the USA was "winning". At the start of the decade, it boasted nearly 20,000 warheads. And it was positioning them all around the Eastern bloc, making the Soviets very nervous.
The Soviet Union was on the back foot. It only had a couple of thousand warheads – sure, that was enough to destroy civilisation as we know it, but it wasn't enough for a self-respecting world leader to feel safe in his own trousers. So, the USSR decided to build some missile silos in Cuba and quietly stuff a few megatons there without Uncle Sam noticing. But Uncle Sam did notice. And he didn't like it.
Pictures from a U2 spy plane showed Russian soldiers setting up nuclear missiles. President Kennedy convened his top advisers and they discussed what to do. The hawks favoured bombing Cuba; the doves thought that was probably a bad idea. They decided to issue an ultimatum.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
So, on 22 October 1962, Kennedy went on national TV and announced a blockade of Cuba, demanding that the Soviets remove their weaponry from America's backyard, or there would be trouble. The world held its breath. There was a real sense that the West and the East were about to blow the rest of the world to Kingdom Come. Would the Soviets back down? And how would the US react if they didn't?
Two days later, Khrushchev replied. The US blockade was an "act of aggression" and Soviet ships would continue to go to Cuba. The world started going blue in the face. But after much diplomatic to-ing and fro-ing, and to the world's relief, an agreement was reached. The USSR would withdraw its missiles as long as the USA promised not to invade its Caribbean ally. Secretly, the USA also agreed to remove its own missiles from Turkey, alarmingly close to the Soviet Union's borders. Armageddon had been averted.
Sign up to Money Morning
Our team, led by award winning editors, is dedicated to delivering you the top news, analysis, and guides to help you manage your money, grow your investments and build wealth.
Ben studied modern languages at London University's Queen Mary College. After dabbling unhappily in local government finance for a while, he went to work for The Scotsman newspaper in Edinburgh. The launch of the paper's website, scotsman.com, in the early years of the dotcom craze, saw Ben move online to manage the Business and Motors channels before becoming deputy editor with responsibility for all aspects of online production for The Scotsman, Scotland on Sunday and the Edinburgh Evening News websites, along with the papers' Edinburgh Festivals website.
Ben joined MoneyWeek as website editor in 2008, just as the Great Financial Crisis was brewing. He has written extensively for the website and magazine, with a particular emphasis on alternative finance and fintech, including blockchain and bitcoin.
As an early adopter of bitcoin, Ben bought when the price was under $200, but went on to spend it all on foolish fripperies.
-
Water companies blocked from using customer money to pay “undeserved” bonuses
The regulator has blocked three water companies from using billpayer money to pay £1.5 million in exec bonuses
By Katie Williams Published
-
Will the Bitcoin price hit $100,000?
With Bitcoin prices trading just below $100,000, we explore whether the cryptocurrency can hit the milestone.
By Dan McEvoy Published
-
31 August 1957: the Federation of Malaya declares independence from the UK
Features On this day in 1957, after ten years of preparation, the Federation of Malaya became an independent nation.
By Jasper Spires Published
-
13 April 1960: the first satellite navigation system is launched
Features On this day in 1960, Nasa sent the Transit 1B satellite into orbit to provide positioning for the US Navy’s fleet of Polaris ballistic missile submarines.
By Ben Judge Published
-
9 April 1838: National Gallery opens in Trafalgar Square
Features On this day in 1838, William Wilkins’ new National Gallery building in Trafalgar Square opened to the public.
By Ben Judge Published
-
3 March 1962: British Antarctic Territory is created
Features On this day in 1962, Britain formed the British Antarctic Territory administered from the Falkland Islands.
By Chris Carter Published
-
10 March 2000: the dotcom bubble peaks
Features Tech mania fanned by the dawning of the internet age inflated the dotcom bubble to maximum extent, on this day in 2000.
By Chris Carter Last updated
-
9 March 1776: Adam Smith publishes 'The Wealth of Nations'
Features On this day in 1776, Adam Smith, the “father of modern economics”, published his hugely influential book The Wealth of Nations.
By Ben Judge Last updated
-
8 March 1817: the New York Stock Exchange is formed
Features On this day in 1817, a group of brokers moved out of a New York coffee house to form what would become the biggest stock exchange in the world.
By Chris Carter Last updated
-
7 March 1969: Queen Elizabeth II officially opens the Victoria Line
Features On this day in 1969, Queen Elizabeth II took only her second trip on the tube to officially open the underground’s newest line – the Victoria Line.
By Ben Judge Last updated