The following chart illustrates the average calendar month gain for the Dow since 1950.
The chart illustrates that the Dow has tended to struggle (on average) during the calendar month of September.
In fact, September has been the worst month for the Dow since 1950.
On a positive note, following September the Dow has tended to put in a relatively strong seven months.
What is the Dow average monthly gain?
Since 1950, the Dow has gained 0.7% per calendar month on average.
What was the Dow’s largest monthly loss?
The largest calendar month loss for the Dow since 1950 was 23.2% for the calendar month of October 1987.
What was the Dow’s largest monthly gain?
The largest calendar month gain for the Dow since 1950 was 14.4% for the calendar month of January 1976.
What is meant by the stock market adage, ‘Sell in May and walk away’?
Sell in May is based on the stock market’s tendency to underperform for the six calendar months of May through October and outperform from November through April.