Chart of the Week: Average Election Year Markets

Monday, July 26, 2004 | 01:47 PM

Markets historically do well during presidential election years. In the event an incumbent loses, we tend to see a post election rally, as people adapt and rationalize the change. When incumbent’s win, it suggests the economy is pretty good, and the markets have a fundamental basis for rising.

Average Election Year markets

Source: Chart of the Day

Either people are happy with the direction of the country, or they look forward to a change.

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