“Wake me up when September ends.” Green Day
Recent months, stocks have moved higher up. Now summer is over and we aren’t out of the woods yet, as September is the worst month of the year and the chances for some volatility over the coming month or so is high.
Remember in early April when all those economists were telling us a recession would be here by now? I sure do. Yeah, they couldn’t have been more wrong, as the economy continues to chug along. Not to mention all the bears promising us a market crash around the globe this summer.
Well, instead we just had one of the best summer rallies in history, with the S&P 500 up 9.3%, which came in as the best summer rally since 2020 and 2009 before that.
September, the worst month of the year
First off, we would/should never invest blindly solely based on calendar effects, but it is better to know about them than not.
The bottom line: after a historic run, some turbulence this month would be perfectly normal, but with many other reasons to be positive about the outlook, I expect any weakness to be fairly well contained.
Busy And Useful 