Stock Market In October Election Year
1 of the second year of a presidential term and sell on dec.
Stock market in october election year. Election day is a year away and stocks are poised to keep rising over the next 12 months with an incumbent in office that is if history is any indication. This stock market metric has correctly predicted presidential election results since 1984 last updated. Investors should brace for a volatile october in the stock market according to lpl pointing to historical data that shows october being the worst performing month of an election year.
This year may prove especially volatile. But external events may sometimes be correlated to stock returns for instance the 4 year election cycle in the us. It was furthered by pepperdine professor marshall nickles in a paper called presidential elections and stock market cycles which presented data showing that a profitable strategy would be to invest on oct.
Stock market and this year won t be an exception said guy benstead fixed income portfolio manager at shelton capital management a. Since 1952 the dow jones. The 5 year and 10 year projections for the us stock markets still look promising.
Housing market and stock market forecasts. 31 of year four. I have studied the election cycle and its potential impact on the stock market for many years looking back to the 1850s.
Historically the two months preceding an election tend to be weaker. They wrote in a note to clients in. 1 2020 at 9 31 p m.
Goldman sachs forecasts the s p 500 companies will fall 33 this in 2020 and then rocket up higher than 50 in 2021. October is the most volatile month of the year for the u s. That uncertainty could drag on stocks according to ned davis research s ed clissold and thanh nguyen.