HuntTown

Here’s an interesting fact about the U.S. stock market and midterm elections! The U.S. holds midterm elections every November, two years after the presidential election. There’s a notable pattern in the S&P 500 index during this period, where the market often dips to a low before rebounding.

Why does this happen?

1.	New Presidential Policies: New initiatives from the president might initially unsettle the market.
2.	Election Season Uncertainty: As the midterms approach, uncertainty rises, pushing investors towards safer assets like bonds or gold.
3.	Post-Election Recovery: Once the election results are clear, confidence returns, and money flows back into riskier assets.

If this trend continues, we could see the market rise until early or mid-next year, then trend downward approaching the November 2026 midterms. What do you think about this pattern? Will it repeat?