Election Year Stock Market History Us

Since 1900 stocks have gained just 3 4 on average in the post election year compared with gains of 4 0 in the midterm year 11 3 in the pre election year and 9 5 in an election year.

Election year stock market history us. Smith 1932 8 2 roosevelt vs. But there are some clear exceptions. Willkie 1944 19 7 roosevelt vs.

After an election stock market returns tend to be slightly lower for the following year while bonds tend to outperform slightly after the election. Since the late 1920s it has been right 20 out of 23 times. Since 1929 the united states has had 14 recessions.

Also once the election is over investors can focus on other things like earnings economic growth or interest rates so whatever sentiment driven market action that occurs in the election year. Stock market performance after elections there are a few different variables that can affect stock market performance. Landon 1940 9 8 roosevelt vs.

The first 2 years of a presidential term have been associated with below average returns while the last 2 years have been well above average. S p 500 annual stock market returns during election years year return candidates 1928 43 6 hoover vs. His theory even proved correct in 2016 a year in which the polls showed democratic nominee hillary clinton decisively in the lead.

So always focus first on the economy and corporate earnings. History suggests that us stock market returns are correlated with the presidential election cycle. Of these 14 recessions only five have occurred during a general election year.

The performance of the s p 500 in the three months before votes are. If you have concerns about how to protect your assets now and in the future contact us to schedule a complimentary consultation. The election of 1928 occurred before the infamous stock market crash of 1929.