Market's Up? It Must Be Monday
Monday, February 1, 2010 at 03:19PM 
With a half hour left in the trading day, the S&P 500 is trading up about 1% and is now poised to trade higher on the first trading day of the week for the seventeenth time in the last nineteen weeks. As shown, since the end of November, the S&P 500 has averaged a gain of 0.63% on the first trading day of the week, while the rest of the week has averaged a decline of 0.83%. In other words, if it wasn't for Mondays, the market would be a lot lower now than it currently is.
The recent trend of up Mondays has also been dubbed 'mutual fund Monday' based on the premise that funds get inflows of cash at the beginning of the week and then plow them into the market. If this is the case, though, it doesn't say much for mutual fund managers if they just blindly buy stocks whenever they have inflows.
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