The Bright Side

LPL Research writes that “October was one of the worst months we’ve seen in years for stocks, but we see a much brighter future. The next two months could have a nice year-end rally thanks to historically bullish seasonal patterns during midterm years and the extreme buying strength we saw last week.”

Key takeaways include:

  • October was one of the worst months for stocks in years.
  • Stocks have historically turned bullish into year-end following midterm elections.
  • Within the four-year presidential cycle, this quarter and the following two quarters next year are historically the best for stocks

To read more from John Lynch Chief Investment Strategist, and Ryan Detrick, CMT Senior Market Strategist, LPL Financial, click here.