Home   Logon   Mobile Site   Research and Commentary   About Us   Call 1.800.621.1675 or Email Us       Follow Us: 

Search by Ticker, Keyword or CUSIP       
 
 
 
Blog Home
Bob Carey
Chief Market Strategist
Click for Bio

Follow Bob on Twitter Follow Bob on LinkedIn View Videos on YouTube
 

  Every Year Looks Volatile Compared To 2017
Posted Under: Broader Stock Market

 
View from the Observation Deck  

  1. In 2017, the S&P 500 Index (the "index") did not register a single down month on a total return basis, which includes reinvested dividends. That is not typically the case. 
  2. In nine of the past 10 calendar years, which includes the 2008-2009 financial crisis, the index endured no less than two negative total return months and as many as eight (see table). 
  3. In the first three months of 2018, the index posted the following total returns: 5.73% (January); -3.69% (February); and -2.54% (March), according to Bloomberg. 
  4. It's total return stood at 0.05% in April as of the 25th. The Stock Trader's Almanac states that April has historically been the third-best month for the S&P 500 Index, according to MarketWatch. The index posted gains in April in nine of the past 10 calendar years, according to S&P Dow Jones Indices. 
  5. While volatility has returned to the stock market, it is actually below average on an historical basis. It just seems high when compared to 2017.  
  6. Brian Wesbury, Chief Economist at First Trust Advisors L.P., has a 2018 year-end price target of 3,100 on the S&P 500 Index. As of the close on 4/25/18, the index stood at 2,639.40. If Wesbury's forecast proves accurate, the index would need to rise by 17.45% to reach 3,100. That level of return looks similar to the gains posted in 2010 and 2012 (see table), which endured some steep monthly declines (see table). 

This chart is for illustrative purposes only and not indicative of any actual investment. The illustration excludes the effects of taxes and brokerage commissions and other expenses incurred when investing. Investors cannot invest directly in an index. There can be no assurance that any past trends will continue or that projections cited will occur. The S&P 500 Index is a capitalization-weighted index comprised of 500 stocks (currently has 505) used to measure large-cap U.S. stock market performance.

Download a PDF of this post, please click here.
Posted on Thursday, April 26, 2018 @ 2:13 PM • Post Link Share: 
Print this post Printer Friendly

These posts were prepared by First Trust Advisors L.P., and reflect the current opinion of the authors. They are based upon sources and data believed to be accurate and reliable. Opinions and forward looking statements expressed are subject to change without notice. This information does not constitute a solicitation or an offer to buy or sell any security.
Search Posts
MARKET ANALYSIS


 PREVIOUS POSTS
Consider The Potential Opportunity Costs Before You Sell In May And Go Away!
US Stock Markets Ended April 20, 2018
US Economy and Credit Markets Ended April 20, 2018
A Snapshot Of European Equities
Stock Buybacks Are Expected To Rise Markedly Thanks To Tax Reform
US Stock Markets Ended April 13, 2018
US Economy and Credit Markets Ended April 13, 2018
A Snapshot of Growth vs. Value Investing
Sector Performance Via Market Capitalization (Year-to-Date)
US Stocks Ended April 6, 2018
Archive
Skip Navigation Links.
Search by Topic
Skip Navigation Links.

 
The information presented is not intended to constitute an investment recommendation for, or advice to, any specific person. By providing this information, First Trust is not undertaking to give advice in any fiduciary capacity within the meaning of ERISA, the Internal Revenue Code or any other regulatory framework. Financial professionals are responsible for evaluating investment risks independently and for exercising independent judgment in determining whether investments are appropriate for their clients.
First Trust Portfolios L.P.  Member SIPC and FINRA. (Form CRS)   •  First Trust Advisors L.P. (Form CRS)
Home |  Important Legal Information |  Privacy Policy |  California Privacy Policy |  Business Continuity Plan |  FINRA BrokerCheck
Copyright © 2022 All rights reserved.