Examining October HistoryHistorical performance can’t predict future results. However, we do believe that understanding what makes October unique can help provide context for the current environment. Significant market events For generations, many of the most significant market events have taken place in October, including the crash of 1929 and multiple large drops in 2008. In addition, last Friday, October 19, marked the 31st anniversary of the “Bloody Monday” market crash. On that date in 1987, the S&P 500 lost over 20% of its value. Higher than normal volatility Since 1950, the S&P 500 has experienced more 1% moves in October than any other month. The month has also been the Dow’s most volatile since its beginning in 1896. Surprising performance Despite the large events and high volatility that October can bring, its results may be stronger than expected. For the past 20 years, October has had the strongest performance of any month. Exactly how this month will end remains to be seen, as we still have a few trading days left. But we hope that understanding how much markets often move in October will help you ride out any future volatility with more confidence. Of course, we’re also here to provide any answers or information you need, so contact us any time.
ECONOMIC CALENDARWednesday: New Home Sales Thursday: Durable Goods Orders, Jobless Claims Friday: GDP, Consumer Sentiment
Quote Of The Week
“If your ship doesn’t come in, swim out to meet it!” – Jonathan Winters