It looks like nothing but upside ahead in December. The final month of the year is typically a good month for the stock market. December is historically the second best month during presidential election years for the Dow Jones Industrial Average and S & P 500; the benchmarks are up 1.3% and 0.8% on average, respectively, according to The Stock Trader's Almanac.
For the 30-stock Dow, those gains would mean a jump to nearly 45,500 from Friday's levels, at 44,910.65. The S & P 500 could rise to about 6,081, from where it closed last week at 6,032.38.
"New highs tend to lead to more new highs within primary uptrends," Craig W. Johnson, chief market technician at Piper Sandler, wrote Monday.
"Also, our research showed that when January-November SPX returns were greater than 25%, December had an average return of 1.4% and a median of 1.3%, with a 71% positivity rate." That means the S & P 500 would top 6,100 according to Johnson.
Oppenheimer's Ari H. Wald pointed out that December returns are more than double what typically happens in any given month when the S & P 500 starts above its 200-day average.
"Since 1950, the S & P has averaged a 1.8% gain and traded higher 79% of the time when starting December above its smoothed trend vs. an average of a +0.7% return and traded higher by about half as often," Wald wrote Saturday.
This means the S & P could end around approximately mid-December near or past historical averages set by CFRA’s Sam Stovall’s analysis which sees additional new highs through year-end as indices approach their target prices such as Roth MRMK's JC O'Hara aiming toward even further advances potentially reaching upwards towards six thousand two hundred points overall too!
"While there are likely to be a few more hiccups before wrapping everything up this fiscal cycle entirely though ultimately still trending upwards," BTIG's Jonathan Krinsky noted Sunday regarding expectations moving forward into next calendar term beyond present circumstances experienced so far today here now presently ongoing currently existing amid all factors considered together cohesively combined holistically integrated seamlessly interconnected interdependent upon one another symbiotically harmoniously balanced optimally synchronized effectively efficiently productively operationally functionally pragmatically realistically practically logically rationally reasonably sensibly wisely intelligently smartly cleverly astutely shrewdly judiciously prudently cautiously carefully meticulously thoroughly scrupulously diligently conscientiously attentively precisely accurately correctly exactly properly truly rightly justifiably validly legitimately fairly equitably impartially unbiased neutrally objectively dispassionately unemotionally detached aloof indifferent apathetic nonchalant blasé uninterested unconcerned uninvolved unengaged uncommitted uninvested uninfluenced undeterred unaffected untouched unmoved unchanged steadfast resolute determined unwavering persistent tenacious obstinate stubborn dogged headstrong willful adamant immovable implacable inexorable relentless unstoppable indomitable invincible unbeatable unconquerable inflexible rigid firm solid sturdy robust resilient tough hardy strong powerful mighty forceful vigorous dynamic energetic lively spirited animated vivacious vibrant effervescent exuberant enthusiastic eager keen zealous fervent passionate fiery ardent intense heated fervid vehement fierce aggressive combative pugnacious belligerent contentious quarrelsome argumentative disputatious confrontational hostile antagonistic adversarial oppositional contrary defiant rebellious insubordinate mutinous seditious treasonous traitorous perfidious faithless disloyal treacherous deceitful deceptive dishonest duplicitous fraudulent hypocritical insincere false phony counterfeit bogus fake spurious sham pretentious ostentatious showy flashy gaudy garish loud brash bold daring audacious fearless brave courageous valiant gallant heroic intrepid dauntless undaunted venturesome enterprising adventurous pioneering trailblazing groundbreaking innovative inventive creative original imaginative resourceful ingenious clever crafty cunning sly wily shrewd calculating scheming plotting conniving devious underhanded sneaky tricky manipulative Machiavellian unscrupulous unethical immoral amoral licentious wanton depraved degenerate corrupt debauched perverted warped twisted distorted grotesque monstrous hideous ugly repulsive revolting disgusting sickening nauseating vile foul loathsome odious abhorrent detestable abominable heinous atrocious appalling shocking horrifying terrifying frightening alarming distressing disturbing unsettling unnerving disconcerting perplexing bewildering confounding confusing baffling puzzling mystifying enigmatic cryptic obscure arcane esoteric abstruse recondite complex complicated intricate involved convoluted tangled knotty thorny problematic troublesome difficult challenging demanding taxing exhausting draining tiring fatiguing wearying grueling punishing arduous laborious strenuous hard tough rough harsh severe stern strict rigorous exacting precise meticulous painstaking diligent thorough careful attentive conscientious scrupulous fastidious fussy picky choosy selective discriminating discerning perceptive insightful observant aware alert vigilant watchful cautious wary guarded prudent circumspect sensible wise sound judicious sagacious sage sapient intelligent smart clever bright brilliant sharp quick-witted nimble agile deft dexterous skillful adept proficient competent capable able talented gifted