Thank Goodness for New Highs!
Today’s gains have pushed the Dow Industrials to a new 52-week high, while the S&P 500 lurks right near another new high as well. At these levels, the Dow has soared 60% and the S&P has surged 64% from their March closing lows.
Investors Thankful for Gains This Year
Heading into the Thanksgiving holiday, the markets have mounted some impressive gains in 2009 so far – something that investors are surely thankful for this year. Year-to-date, the S&P 500 has risen nearly 23%, while the Dow has gained 19%.
That’s a stark comparison to last year at this time, when investors were sick to their stomachs swallowing enormous losses for 2008 before eating their Thanksgiving turkey. On the day before Thanksgiving Day 2008, the Dow was down 34% for the year, while the S&P had plunged 40%.
With nearly 11 months in the bag, investors now hope that Santa will fill their stockings with solid December gains. However, if historical trends hold up this year, there will be lots of holiday cheer on Wall Street. According to the Stock Trader’s Almanac, December is typically the second best month of the year for both the Dow and S&P, with the two indices each rising 1.7% on average. In fact, since 1950, the Dow and S&P have risen in December over 70% of the time.
Here is how the year for the markets is shaping up heading into the Thanksgiving holiday:
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