Posts Tagged 'options expiration'

Almanac Update September 2020: Historically Another Challenging Month

Start of business year, end of summer vacations, and back to school made September a leading barometer month in first 60 years of 20th century, now portfolio managers back after Labor Day tend to clean house. Since 1950, September is the worst performing month of the year for DJIA, S&P 500 and NASDAQ (since 1971). Sizable gains in September 2009, 2010, 2012, 2013 and 2017 have lifted Russell 2000 to second worst (since 1979). September was creamed four years straight ...

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Almanac Update August 2020: Top Month in Election Years for Tech & Small Caps

Money flows from harvesting made August a great stock market month in the first half of the Twentieth Century. It was the best month from 1901 to 1951. In 1900, 37.5% of the population was farming. Now that less than 2% farm, August is amongst the worst months of the year. It is the worst DJIA, S&P 500, NASDAQ, Russell 1000 and Russell 2000 month over the last 32 years, 1988-2019 with average declines ranging from 0.1% by NASDAQ to ...

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Almanac Update June 2020: End of NASDAQ’s “Best Eight Months”

June has shone brighter on NASDAQ stocks over the last 49 years as a rule ranking seventh with a 0.8% average gain, up 27 of 49 years. This contributes to NASDAQ’s “Best Eight Months” which ends in June. June ranks near the bottom on the Dow Jones Industrials just above September since 1950 with an average loss of 0.2%. S&P 500 performs similarly poorly, ranking tenth, but essentially flat (0.1% average gain). Small caps also tend to fare well in ...

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Almanac Update March 2020: Beware the Ides & Month-End Weakness

Boisterous March markets tend to drive prices up early in the month and batter stocks at month end. Julius Caesar failed to heed the famous warning to “beware the Ides of March” but investors have been served well when they have. Stock prices have a propensity to decline, sometimes rather precipitously, during the latter days of the month. In March 2001, DJIA plunged 1469 points (-13.5%) from March 9 to the 22.

March packs a rather busy docket. It is the ...

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Almanac Update December 2019: If Santa Claus Should Fail to Call, Bears May Come to Broad and Wall

December is now the number two S&P 500 month and the third best month on the Dow Jones Industrials since 1950, averaging gains of 1.5% on each index. It’s the third best month for NASDAQ since 1971. Last year DJIA suffered its worst December performance since 1931 and its fourth worst December going all the way back to 1901. However, the market rarely falls precipitously in December and a repeat of last year is not that likely. When it does ...

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