Current location - Music Encyclopedia - Today in History - Will US stocks soar before the election?
Will US stocks soar before the election?
The next round of American election is 165438+20241October 5.

If we look back at the history of the Standard & Poor's 500 Index, we will find that from 1950, in the first quarter of the year before the US election, the valuation was positive 18 times, with an average increase of about 7.4%. Moreover, on the whole, this is also the best quarter in the four-year presidency, followed by the second quarter, which also performed well.

According to the statistics of historical data, it can be seen that during the presidency of the United States, the performance of Wall Street's stock index is generally as follows: In the first two years of the new presidency, US stocks performed the worst, because this was the time to adopt the most unpopular policy.

On the other hand, in the last two years of their term of office, US stocks performed best, because at this time, the government would adopt more popular policies. After all, the election is approaching and they need to get more votes. Among them, the third year is the best.

The first year of the presidency:

Second year of the presidency: +2.94%.

The third year of the presidency:+1 1.84%.

The fourth year of the presidency: +7.63%.

It should also be noted that biotechnology, industry and health care sectors are often favored by the Democratic Party. And * * * and the party was elected, pharmaceutical companies and airlines benefited more. In addition, when Congress was divided, the market performed well. Like the Standard & Poor's 500, the Dow Jones Industrial Average has performed better since the Democratic Party entered the White House at 1900.