S&P 500 Dow Jones Industrial Average & NASDAQ Composite October Stock Market Crash Talk
Post on: 16 Март, 2015 No Comment
![S&P 500 Dow Jones Industrial Average & NASDAQ Composite October Stock Market Crash Talk S&P 500 Dow Jones Industrial Average & NASDAQ Composite October Stock Market Crash Talk](/wp-content/uploads/2015/3/2001-stock-market-history-enron-bankruptcy_1.png)
Have you ever wondered how billionaires continue to get RICHER, while the rest of the world is struggling?
I study billionaires for a living. To be more specific, I study how these investors generate such huge and consistent profits in the stock markets — year-in and year-out.
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October has an ominous reputation on Wall Street for delivering a stock market crash for good reason; six of the top 11 worst market declines have happened during the month.
But a look at the Dows overall monthly performance shows October is not the market buzzkill everyone thinks
October Stock Market Crashes Throughout History
First, a look at how October got its bad rap
October 2008 was a particularly painful month for investors. The broad-based Standard & Poors 500 Index fell a punishing 16.79%, spurred by the failure of huge financial institutions and a warning from the head of the International Monetary Fund that the worlds financial system was teetering on the brink of a systemic meltdown.
Theres also Black Monday, which occurred on Oct. 19, 1987. The Dow experienced its largest one-day percentage decline in history on that infamous day, when the blue-chip benchmark plunged 22.6%. Some $500 billion in market cap evaporated from the elite 30-stock index, and markets worldwide tumbled in sympathy.
And then theres the Wall Street Crash of 1929, better known as Black Tuesday. The sell-off began on Monday, Oct. 28, and picked up steam on Tuesday, Oct. 29. Over the two days, the Dow plummeted some 24.55%, signaling the beginning of the 10-year Great Depression .
Still, investors might be surprised to learn that October, on average, sports stock marketgains over the past 20, 50, and 100 years.
Since 1950 through 2013, the broad-based S&P 500 Index has turned in a gain 39 times and fallen 25 times in October. And the Dow Jones has had an average gain of 0.11% during the month of October from 1929 through 2013.
In fact, theres only one month that shows an average decline in the last 20, 50, and 100 years: September.
The Cruelest Month for the Stock Market Is September, Not October
Since 1929, the S&P 500 Index has declined an average of 1.3% and the Dow has fallen an average of 1.24% in September.