The Best 50 Days Ever – June 10, 2020
Since 1957, the S&P 500 Index2 has advanced by more than 20% over a 50-day period just eight times (LPL Research).
- Through June 3, a 39.6% run in 50 days ranks as number one.
- Number 2: a 35.6% advance as of Oct 22, 1982.
Historically, the S&P 500 has continued to rise, averaging a gain of an additional 10.2% in 6 months and 17.3% in 12 months.
- These are averages. Past performance is no guarantee of future results. Uncertainty remains. Much may depend on the path of the virus and the success in reopening the economy.
Smart people don’t always get it right
Legendary hedge fund manager Stanley Druckenmiller says he’s been ‘humbled’ by the market comeback (CNBC 6/8/2020).
Bank of America gives mea culpa on missing rally (CNBC 6/8/2020).
Goldman Sachs sees the market dropping nearly 20% in 3 months (CNBC 5/11/2020). We have another 2 months. The S&P 500 is up 10% from May 11 through June 8.
‘Hell is coming’ — billionaire hedge fund manager Bill Ackman has dire warning if drastic measures aren’t taken now (CNBC 3/18/2020).
Forecasts may or may not come to fruition as there are too many unknown variables. Yes, the best and brightest sometimes come up short.
Investor’s corner
“It’s tough to make predictions, especially about the future” is attributed to a baseball-playing philosopher, Yogi Berra.
A well-crafted and diversified financial plan removes market timing from the equation and has historically been the best path to long-term wealth accumulation.
Created 2020-06-10 14:27:40