S&P 500 Best Months Ever
Thursday, October 27, 2011 at 03:37PM
The S&P 500 is now up more than 14% this month, putting the index on pace for its best month since October 1974 and its ninth best month ever. So for a lot of people this is the best month for the market in their entire lives. In order to exceed October 1974's return of 16.30%, the S&P 500 would have to close out the month of October above 1,316, or 2.1% above current levels.
In the table to the right we highlight all months where the S&P 500 rose more than 10% going back to 1928. We also show the index's performance in the following month. As shown, in the 27 prior months where the S&P 500 rose more than 10%, the average return in the following month was a gain of 1.44% with positive returns 14 times. The index has only had three months in its history where it had back to back gains of 10% or more, and there was only one month where the index followed up a double digit gain with a double digit loss (Aug 1933).
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