The market is nearing a milestone that could be more important than Dow 27,000, S&P 500 3000

  • 📰 CNBC
  • ⏱ Reading Time:
  • 57 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 26%
  • Publisher: 72%

Canada News News

Canada Canada Latest News,Canada Canada Headlines

If the S&P 500 climbs another 4%, it will have doubled the peak reached in the previous bull market, Michael Santoli notes.

A more momentous milestone lies just ahead: If the S&P 500 climbs another 4%, it will have doubled the peak reached in the previous bull market. Only three prior bull cycles have logged such a 100% gain from the prior bull peak: The great bull markets of the 1950s. the '80s and the '90s.

The table here, prepared upon request by LPL Financial strategist Ryan Detrick, shows the appreciation of the S&P 500 not from the start of a bull market but above the highest level reached in the prior bull phase.The good news for today's stock investors: None one of the previous three instances of a doubling over a past peak stopped there, as the circled returns indicate.

In the '90s, the S&P reached a 100% gain from its 1990 low in November 1996 – mere weeks before Federal Reserve Chairman Alan Greenspan wondered aloud about how to tell when "irrational exuberance" had gripped the financial markets. This helped prompt a modest market correction and gave way to a more-volatile and emotional few years in the market. But the S&P would eventually go on to double again from there before peaking in early 2000.

And the 2007 peak at 1565 was only a touch above the March 2000 top at 1527 seven-and-a-half years earlier. So the doubling of the S&P since March 2000 makes for even less-impressive performance: An annual return of 5.6%, including 2% a year from dividends.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 12. in CA
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

That tax cut trump gave 1% and blew up the deficit really helped companies buy back stock. The stock market doesn’t show a strong economy. Most Americans aren’t even in the stock market. We are headed to another recession

And 8000 in Nas 100

Canada Canada Latest News, Canada Canada Headlines