Categories: Stock Market News

No Santa rally leaves S&P 500 susceptible in 2025, BofA says


Investing.com — The S&P 500 ended December 2024 down 2.5%, lacking its typical year-end Santa Claus rally.

Traditionally, this seven-day interval between late December and early January is bullish 79% of the time, with a mean return of 1.6%. However this 12 months, the index slipped 0.53%, signalling a riskier begin to 2025.

And not using a Santa rally, January turns into a possible weak spot. BofA famous that in years with out this rally, January has a 52% likelihood of being unfavourable, with a mean decline of 0.29%. A down January may set off a bearish “January Barometer,” which frequently predicts a troublesome 12 months for equities.

Key technical ranges are actually in focus. The SPX is testing help close to the 2024 Presidential election hole at 5864-5783. A breakdown may type a bearish head-and-shoulders sample, exposing help at 5700-5650. Nonetheless, breaking above resistance at 6017-6050 may negate the bearish outlook.

The lackluster begin to 2025 provides uncertainty for the primary half. Traditionally, and not using a Santa rally, the S&P 500 sees weaker first-quarter returns, averaging a 0.69% loss. The primary half fares barely higher, up 57% of the time however with negligible returns.

The market’s trajectory in January will set the tone for a risky 12 months, particularly as 2025 begins the Presidential Cycle, which historically carries blended outcomes.

admin

Share
Published by
admin

Recent Posts

Uncertainty index spikes amid on/off confusion over Trump tariffs

For those who're already feeling overwhelmed by the sheer quantity of reports to ingest on…

20 minutes ago

Oil costs edge decrease as considerations over tariff impression develop

By Nicole Jao (Reuters) - Oil costs fell for a second day in early commerce…

3 hours ago

Australia Shopper Sentiment Jumps on Cooler Inflation, Price Lower

(Bloomberg) -- Australia’s shopper confidence picked up in March as inflation pressures eased and the…

3 hours ago

Dow, S&P 500, Nasdaq futures maintain regular amid rising financial fears

US inventory futures held regular after one other brutal sell-off rocked Wall Road and deepened…

4 hours ago

Delta points a warning on the financial system, slashing its revenue forecast in half

Delta Airways planes sit parked at Hartsfield-Jackson Atlanta Worldwide Airport in Atlanta on June 28,…

4 hours ago

Markets Rocked by Trump Present Financial Concern Throughout Wall Road

(Bloomberg) -- What had been a gradual pullback from the US inventory market accelerated sharply…

5 hours ago