The Stock Markets Strong Start to 2023 Could Signal Good News for the Rest of the Year
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After a dismal 2022, investors are finally breathing a sigh of relief. The stock market is up nearly 10% so far this year, and new research indicates more gains could be on the way.
A recently released analysis by Jeffrey Buchbinder, chief equity strategist for LPL Financial, finds that when stocks perform well during the first 100 trading days of a year, even bigger gains tend to follow in the remaining days.
Buchbinder pointed to data showing that since 1950, in years when the S&P 500 gained at least 7% during the first 100 trading days, the index then went on to gain an average of 9.4% during the rest of the year. This year seems to qualify the S&P 500 was up 8.1% when that initial 100-day period ended last week so the outlook is good for the next seven months.