June has shone brighter on NASDAQ(NYSEARCA:QQQ) stocks over the last 49 years as a rule ranking seventh with a 0.8% average gain, up 27 of 49 years.
This contributes to NASDAQ’s “Best Eight Months” which ends in June. June ranks near the bottom on the Dow Jones Industrials just above September since 1950 with an average loss of 0.2%. S&P 500(NYSEARCA:SPY) performs similarly poorly, ranking tenth, but essentially flat (0.1% average gain). Small caps also tend to fare well in June. Russell 2000(NYSEARCA:IWM) has averaged 0.8% in the month since 1979.
In election years since 1950, June’s performance improves notably. June is the #5 DJIA(NYSEARCA:DIA) month in election years averaging a 0.9% gain with a record of twelve advances in seventeen years. For S&P 500, June is #2 with an average gain of 1.3% (14-3 record). Election-year June ranks #4 for NASDAQ and Russell 2000 with average gains of 1.6% and 1.4% respectively. This performance improvement is most likely the result of presidential candidate field being sufficiently narrowed, and the ultimate nominees being identified.
Not a subscriber? Sign up today for a Free 7-Day Trial to Almanac Investor to get a full run down of seasonal tendencies that occur throughout June in an easy-to-read calendar graphic with important economic release dates highlighted, Daily Market Probability Index bullish and bearish days, market trends around options expiration and holidays. In addition, the Monthly Vital Statistics Table combines stats for the Dow, S&P 500, NASDAQ, Russell 1000 and Russell 2000 and puts them all in a single location available at the click of a mouse.