2017 vs. 2018 in the Stock Market

Discussion in 'Sharemarket News & Market Analysis' started by Redwing, 10th Jan, 2019.

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  1. Redwing

    Redwing Well-Known Member

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    Posting the below for no other reason than it's interesting

    S&P 500 2017 compared to 2018



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    2017 vs. 2018 in the Stock Market (Ben Carlson)

    It takes the Earth roughly 365 days to orbit the sun so that’s what we’ve agreed upon as the definition for a full calendar year. Orbiting the sun has nothing to do with the financial markets but people still spend an inordinate amount of time figuring out what the new year will bring in the markets.

    Going from December to January or the 4th quarter to the 1st quarter shouldn’t mean anything to investment professionals but the reality is people pay attention to this stuff. So even though it shouldn’t matter, if these are the norms then these are the norms.

    One year in the stock market should have no bearing on the next year and the data makes this clear..continues

     

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  2. Redwing

    Redwing Well-Known Member

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  3. Redwing

    Redwing Well-Known Member

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    Annual Returns on Stock, T.Bonds and T.Bills: 1928 - Current

    The raw data for treasury bond and bill returns is obtained from the Federal Reserve database in St. Louis (FRED). The return on stocks includes both price appreciation and dividends.

    The treasury bill rate is a 3-month rate and the treasury bond is the constant maturity 10-year bond, but the treasury bond return includes coupon and price appreciation. It will not match the treasury bond rate each period
     
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  4. oracle

    oracle Well-Known Member

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    Does that mean dividend re-invested?

    Cheers,
    Oracle.
     
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  5. Nodrog

    Nodrog Well-Known Member

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    Yes, that’s how I read it as in what’s generally referred to as an “accumulation” index.
     
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