The Investopedia Express with Caleb Silver

Setting up for the Stock Market's Best Six-Month Stretch

Nov 6, 2023

Discussion on the upcoming seasonally strongest time for stocks, the impact of short-term events on the market, favorite Wall Street movies and finance terms, and Warren Buffett's cash holding.

31:45

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Quick takeaways

The Federal Reserve's decision to leave interest rates unchanged and concerns of a recession have contributed to a rally in stocks.

Seasonality, rooted in behavioral finance, provides opportunities for investors by tracking market cycles, patterns, and annual behaviors.

Deep dives

Fed's dovish tone and concerns of recession

The podcast episode discusses how the Federal Reserve's dovish tone and concerns of a recession have impacted the stock market. The Fed's decision to leave interest rates unchanged and uncertainty about another rate hike this year contributed to a rally in stocks. While the Fed does not see a recession in the near term, many CEOs hold a different view. A softer than expected October jobs report also raised concerns as job growth slowed and wage gains leveled off.

Introduction

4min

Exploring the Psalm Rule, Apple's Sales Decline, and Market Sentiment

4min

Setting up for the Stock Market's Best Six-Month Stretch

12min

Short-Term Events and Stock Market Impact

7min

Favorite Wall Street Movies, Finance Terms, and Warren Buffett's Cash Holding

4min

Jeff Hisrsch, editor of The Stock Trader's Almanac, on why 'seasonality' matters for investors, and why the next six months are usually the strongest of the year. Plus, how his father, Yale Hirsch, developed the Almanac, and why lessons like "Sell in May and Go Away", and "The Santa Claus Rally", still endure to this day. And, the Fed paused its rate hiking campaign, as expected, and doesn't forecast a recession. So why is everyone else convinced one will come?

LINKS FOR SHOW NOTES

https://www.investopedia.com/terms/b/breadth-thrust-indicator.asp

https://www.investopedia.com/what-to-expect-in-the-markets-next-week-4584772

https://www.nber.org/research/business-cycle-dating

https://sites.google.com/site/claudiasahm/

https://www.investopedia.com/berkshire-hathaway-q3-2023-earnings-8386838

https://www.investopedia.com/terms/c/convertiblepreferredstock.asp

https://www.stocktradersalmanac.com/

https://jeffhirsch.tumblr.com/

https://www.investopedia.com/terms/s/santaclauseffect.asp

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