Will October be another stock-market ‘bear killer'? Why investors need to tread carefully around seasonal trends.

While September has lived up to its reputation as a brutal month for stocks, October tends to be a “bear-market killer”, known for its historically strong returns especially during midterm election years.

Skeptics, however, are warning investors that negative economic fundamentals could overwhelm seasonal trends as what’s traditionally the roughest period for equities comes to an end. “Twelve post-WWII bear markets have ended in October: 1946, 1957, 1960, 1962, 1966, 1974, 1987, 1990, 1998, 2001, 2002 and 2011 ,” wrote Jeff Hirsch, editor of the Stock Trader’s Almanac, in a note on Thursday. “Seven of these years were midterm bottoms.” 2022 is also a midterm election year, with congressional elections in November.

Skeptics aren’t convinced the pattern will hold true this October. Ralph Bassett, head of investments at abrdn, an asset management firm, said these dynamics could only play out in “more normalized years.” Strategists at Stifel, a wealth management firm, contend the S&P 500, which has fallen more than 23% from its Jan. 3 record finish, is in a bottoming process. They see positive catalysts between the fourth quarter of 2022 and the start of 2023 as Fed policy plus S&P 500 negative seasonality are headwinds that should subside by then.

Or month of the biggest crash markets have ever seen ? 😈

CC: wet brain alcoholics pulling their head out of a toilet in another time zone

España Últimas Noticias, España Titulares

Similar News:También puedes leer noticias similares a ésta que hemos recopilado de otras fuentes de noticias.

Institutional appetite continues to grow amid bear market — BitMEX CEOInstitutions are still hot for crypto according to Alexander Höptner who thinks that ETH will be the asset of choice now that it is ESG-friendly. So, 🔥 eeveerybody's printing freeee,making freeee 💰 trading on uniswap and you won't sharee it ESG friendly, sure, but now the SEC is going after it
Fuente: Cointelegraph - 🏆 562. / 51 Leer más »

Defying Bear Market Trends, CryptoPunk 2924 Sells for $4.5 Million in ETHIt's the fourth-highest price for a CryptoPunk NFT and quite a morale booster at a time when NFT sales have hit the bottom. It's the fourth-highest price for a CryptoPunk NFT and quite a morale booster at a time when NFT sales have hit the bottom.
Fuente: Crypto_Potato - 🏆 568. / 51 Leer más »

How to protect your 401(k) in a bear market | CNNStocks and bonds are both down sharply year to date and market volatility is likely to continue. Here are ways to mitigate the potential damage to your long-term nest egg. Don’t let this distract you from the fact that Byron and the broad in office are planning to destroy this country. We’ll, destroy is an understatement, gang bang the economy is a better term
Fuente: CNN - 🏆 4. / 95 Leer más »