Tuesday, December 17, 2019

What Does 2019 Mean for 2020?

While 2019 isn't quite over yet, is it possible the first 11 months of this year bode well for next year? The markets soared heading into the final month of the year, with the S&P 500 gaining over 25 percent through the end of November.

History shows that as a promising sign for next year. Since 1990, the S&P 500 has gained at least 20 percent from January through November on six other occasions. The S&P 500, Dow and Nasdaq have turned in big years — measured from December to December — 100 percent of the time after similar S&P 500 gains through November.

How big? The S&P and Nasdaq gains have averaged above 18 percent in the years following those strong January-through-November periods. The Dow has posted an average gain of 15 percent.

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