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The first Eid — the word means celebration — was observed by the Prophet Muhammad with his followers after the Battle of Badr.
What led to that battle
In 622 the Muslims left Mecca under religious persecution and settled at Medina. They raided caravans on the Meccan trade route, both to survive economically and in response to having been driven from their homes.
In the spring of 624 a caravan of 1,000 camels loaded with goods was moving toward Mecca. Muhammad set out for the oasis at Badr with 313 men to intercept it. Word reached the Meccan nobles, who combined forces to protect the shipment.
The battle
The Meccan army outnumbered Muhammad's roughly three to one. By custom, three champions from each side fought first; all three Meccan champions were killed. A general attack followed. The Quran records that thousands of angels descended and terrified the enemy, and the larger army broke and fled.
The victory raised Muhammad's standing considerably and marked the beginning of Islam's expansion.
And the feast
His men had fasted before the fighting, and they feasted that evening. Muslims still mark the breaking of a fast with Eid celebrations today.
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