Surprise to the Upside
In case if you missed it earlier this month, something significant happened in the markets on November 10th. Most of us were caught up that day in digesting which states flipped which color as the tallies rolled in from the mid-term elections. Many market pundits were confidently predicting that ‘the market loves gridlock’.
This picture shows the S&P 500 did an incredible catapult-jump up on November 10th. It was such a big jump in the markets – the NASDAQ chart looks identical – that it rivaled the surge we experienced after the pandemic downturn.
Bloomberg, November 10th:
Stocks Skyrocket in Best Post-CPI Day on Record: Markets Wrap
Nasdaq 100 jumps 7.5% in biggest daily gain since March 2020
For all the calls I read on what the markets like, none predicted this response. This surprise to the upside brought back to memory the old Public Enemy song “Don’t Believe the Hype”.
2022’s wrap-up is far from decided. This is a time to stay alert and proactive.