Equity markets can be volatile in the short run. But traditionally they tend go higher in the long run. That is why it is always wise to hold stocks for the long term. The following chart shows the annual total returns of the S&P 500 from 1926 to 2020. The histogram shows the number of …
Continue reading ‘S&P 500 Total Return Ranges by Year from 1926 to 2020: Chart’ »
Equity markets go through periods of bull run followed by mauling by the bear for some time. Then the bull market returns followed by bear market again. This cycle continues over the years and decades. The duration of bull and bear markets vary but traditionally the bull has stayed longer than the bear as we …
Continue reading ‘Performance of US Stock Market and Crisis Events since 1936’ »
US equity markets were up big yesterday. However we are still in a bear market and after weeks of down days it was more of a relief rally. Moreover volume was lower than average for a few stocks I looked at. Stocks going up on low volumes is not a strong indicator of the strength …
Continue reading ‘S&P 500 Index Bull and Bear Markets Since 1966’ »
We looked at the case for staying invested in foreign stocks in an earlier post. In this post, let’s review a chart showing the importance of staying invested in US stocks as represented by the S&P 500. From 1992, though the index has had many years of big intra-year declines, the S&P 500 had positive …
I have written many times in the past on the importance for staying invested for the long haul. Having patience and staying focused on the long-term goals is especially difficult during adverse market conditions such as the bear market we are currently in. Simply quitting the market by selling everything and staying on the sidelines …
Continue reading ‘The Case For Staying Invested: International Stocks Example’ »