Midterm Election Mind-Reading: The Market Tends to WinBreaking News
tags: stock market, Midterm Election
Will the Republicans win control of Congress? With summer drawing to a close, the midterm election is just two months away and this question is likely to be analyzed and debated with increasing urgency.
But for the stock market, the answer may not matter at all: The market has a tendency to rally no matter which party wins a midterm election. That’s what the historical record suggests, anyway.
In fact, from the standpoint of stock market history, political outcomes aren’t very relevant, but the calendar is. September is typically a difficult and volatile month for stocks, while in a midterm election year the clouds over Wall Street have tended to lift in October. Regardless of which side has won in a November midterm election, the market has generally prospered for the rest of the year. And it has often excelled in the next calendar year, typically the most propitious year for stocks in what is often called the four-year presidential cycle.
comments powered by Disqus
- Before Ivanka Trump, other presidential daughters also wielded influence at the White House
- South Carolina Republican: scrap slave memorial if Confederate monument goes
- A 130,000-Year-Old Mastodon Threatens to Upend Human History
- Trump just promised the biggest tax cut in history
- An African Diaspora group at Columbia University draped a KKK hood over Thomas Jefferson
- Accused plagiarist Matthew Whitaker wins arbitration case against City of Phoenix over police contract
- Niall Ferguson says the liberal international order has passed its peak
- Nathaniel Philbrick wins the $50,000 2017 George Washington Prize
- In an interview Jill Lepore explains how she writes and the writers she admires most
- Trump is no Hitler – he’s a Mussolini, says Oxford historian