December's First Trading Day Mixed
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In the Stock Trader's Almanac 2017, on page 86, it is shown that the first trading days of every month since September 1997 for DJIA have produced more gains than all other days combined. Most consistent gains were produced by the first day of February, April and May. However December's first trading day has not been as productive for DJIA or S&P 500. In the following tables, the performance of the first trading day of December over the last 21 years is presented.
Aside from disastrous 2008, first trading day of December losses have been relatively mild. The second worst loss, slightly less than 1% was in 2001. Gains of 1% or more have been more common with seven each for DJIA and S&P 500 and eight occurrences for NASDAQ. Since 2006, December's first trading day has been decidedly weaker, down seven of ten for DJIA and S&P 500 and six of ten for NASDAQ.
This article was written by Jeff Hirsch for Almanac Trader on Nov 30, 2016.
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