Ask a Wise Ape

Share this post
🦧 buy me up when september ends
www.wiseape.fyi

🦧 buy me up when september ends

Ape of Omaha
Sep 9, 2022
Share this post
🦧 buy me up when september ends
www.wiseape.fyi

šŸ“– history tells us…

 

it’s been a great month so far.

  • s&p 500’s up nearly 3% in just the first six trading sessions of september

  • after 7+ consecutive down (or flat) sessions, us equities regained reason to be optimistic

  • aka: the beige book release on wednesday

    • central bankers indicated that they feel outlook to be "generally weak" over the next six to 12 months

    • that’s no good news on the surface, but this could provide reason for the markets to believe that the fed may not go as extreme as previously anticipated, in terms of monetary tightening and intentionally stifling inflation

 

fed aside, let’s talk history – the september effect!

  • like in the photo at the top of this email, some researchers (this one for example) argue that september is historically the worst month

    • there is zero cause or direct explanation, but this is rather a statistical quirk (imo)

  • the pattern persists worldwide, not just the us stock market

  • some possible theories are:

    • investors make adjustments to their portfolios at the end of summer

    • most mutual funds ā€œcash in their holdingsā€ to harvest tax losses

    • families sell en masse to afford tuition or back-to-school items

 

i had to call a few sick days, but im back!

have a great weekend y’all :)

šŸ’” something im thinking about

$3 movie day brought in $24M in sales (click image)

that's all, folks šŸ’

 
as always, i’m no financial advisor! (i’m no substitute for professional financial services)
 

thanks for reading Ask a Wise Ape – if you’re enjoying our content, please share with your friends to check it out and subscribe!

Share

buy me a coffee :)

Share this post
🦧 buy me up when september ends
www.wiseape.fyi
Comments
TopNewCommunity

No posts

Ready for more?

© 2023 Ape of Omaha 🐵
Privacy āˆ™ Terms āˆ™ Collection notice
Start WritingGet the app
SubstackĀ is the home for great writing