Thanksgiving is traditionally the kickoff of the holiday shopping season, and a significant indicator for the health of our economy. But it also presents a bit of a turning point for the stock market as well. In recent years, the market has consistently risen during the three weeks starting with the Friday before Thanksgiving.
Each of the past ten years, the S&P 500 index has increased over that time period. The average increase for that three weeks has been 3.2 percent - which may not sound like a lot, but is pretty significant for about 5 percent of the trading year.
Oddly enough, the strongest of those three-week periods came when the market was, overall, in free-fall. In November and December of 2008, as the S&P was on its way to bottoming out in March of 2009, the index rose by nearly 10 percent.
No comments:
Post a Comment