Market Insights: Did this year’s Santa Claus rally come early?
RJ Hamster
Advertisements
Stock market up in November – can the rally continue?
Popular U.S. stock market indices advanced between 8.8% and 10.7% in November, with 10 of 11 S&P 500 sectors posting gains. Consumer Discretionary, Financials, Information Technology and Real Estate sectors all were up 10% or more.
Global inflation is down in the wake of interest rate hikes by the Federal Reserve and other global central banks. As inflation recedes, investors increasingly anticipate potential interest rate cuts next year, which helps support rising stock prices today.
November stock market performance was strong. Broad-based strength across indices and sectors is an indicator of a market poised for the potential to make further gains. During last year’s so-called Santa Claus rally period, which typically spans the final five trading days in December and the first two trading days in January, the S&P 500 rose 0.8%.
The third quarter reporting period is effectively over. Sales and earnings advanced 1.8% and 4.5%, respectively, over a year ago, modestly exceeding expectations and likely contributing to positive market momentum as investors look ahead to the new year.
Although stocks advanced in 2023, market leadership is concentrated among a relatively narrow band of S&P 500 sectors, with technology dominating. What does this mean for investors?
Join this live event featuring U.S. Bank chief investment officer, Eric Freedman, and head of government relations, Kevin MacMillan, who will share the 2024 investment outlook, offer helpful insights on next year’s presidential election and outline strategies for navigating the unique complexities of today’s capital markets.
Investment and insurance products and services including annuities are:
NOT A DEPOSIT • NOT FDIC INSURED • MAY LOSE VALUE • NOT BANK GUARANTEED • NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY
U.S. Bank and its representatives do not provide tax or legal advice. Your tax and financial situation is unique. You should consult your tax and/or legal advisor for advice and information concerning your particular situation.
U.S. Bank does not offer insurance products but may refer you to an affiliated or third party insurance provider.
This information represents the opinion of U.S. Bank Wealth Management. The views are subject to change at any time based on market or other conditions and are current as of the date indicated on the materials. This is not intended to be a forecast of future events or guarantee of future results. It is not intended to provide specific advice or to be construed as an offering of securities or recommendation to invest. Not for use as a primary basis of investment decisions. Not to be construed to meet the needs of any particular investor. Not a representation or solicitation or an offer to sell/buy any security. Investors should consult with their investment professional for advice concerning their unique situation. The factual information provided has been obtained from sources believed to be reliable, but is not guaranteed as to accuracy or completeness. Any organizations mentioned in this commentary are not affiliated or associated with U.S. Bank in any way.
Protecting your privacy is our priority. We will never initiate a request via email for your sensitive information like your Personal ID, Password, Social Security Number, Personal Identification Number (PIN) or Account Number. For your safety, never share this information with anyone, at any time. If you receive an email asking for your sensitive information, or would like to report a suspicious email, forward it to fraud_help@usbank.com or call U.S. Bank Customer Service immediately at 800‑USBANKS (872‑2657).
Note: If you would rather not follow links from this email, you can access information on all U.S. Bank products and services at usbank.com.
You are receiving this email as a service to your account because of your relationship with U.S. Bank Private Wealth Management. You can view and manage the types of email you wish to receive from U.S. Bank Private Wealth Management and your Wealth Management professional.
