The stock market’s best six-month period starts this week, especially for small caps

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The 'best six months' pattern faces a key difference in 2024: stocks have already registered a strong first half of the year.

Never mind what's already been a strong six months for stocks. The market's about to embark on what is historically its best six-month stretch of gains. Historically, the November to April period has seen stocks notch their highest average return the greatest number of times going back to World War II, according to the "best six months" thesis popularized by the Stock Traders Almanac .

In all of 2024 to date, the index has advanced more than 22%. This year's market strength follows a standout 20% gain for the S & P 500 in 2023's "best six months" period, he noted. "This double-dose of double-digit returns has caused investors to wonder if the market has used up its energy reserves and may be headed for tough times," Stovall wrote. .SPX YTD mountain The S & P 500 has advanced more than 22% in 2024.

 

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