The S&P 500 Just Notched a 5-Month Win Streak. The Stock Market Usually Does This Next.
The S&P 500 (SNPINDEX: ^GSPC) is one of three major U.S. financial indexes. It covers roughly 80% of domestic equities by market capitalization, and it includes a diversified mix of companies from all 11 market sectors. That scope and diversity make the index an excellent barometer for the overall U.S. stock market.
The S&P 500 soared 25% over the last five months, notching gains in each month along the way. That performance can be attributed to strong economic growth, encouraging financial results, and expectations that the Federal Reserve will begin cutting interest rates in the near future.
While five-month win streaks are not unheard of for the S&P 500, that type of momentum is not exactly common, and it hints at more gains over the next year.
Source Fool.com
