Stocks This Week: Sell Short Wells Fargo And MMM

Stocks This Week: Sell Short Wells Fargo And MMM

Great Speculations

The indices are likely to pull back and consolidate recent gains in the second half of May. Since 1885, May has been up 55.2% of the time. From May 15 to 31, this percentage falls to 50.0%. The best May occurred in 1931 when the Dow Jones rose by 9.1%, and the most bearish month was in 1940 when the market fell by 20.2%. Chart 1 depicts the average expected daily return in all Mays that have occurred in an election year. On average the market has fallen by about 3.5%.

This is a static cycle in that it changes slowly over the years. We con


Facebooktwitterredditpinterestlinkedintumblrmailby feather
Skip to toolbar