Stocks Slump in Early March After Strong February Rally
-
U.S. stocks rallied over 4% in February, raising concern that investors may take profits in early March. History shows mixed performance for stocks after big February gains.
-
On average, the S&P 500 has seen flat to slightly positive returns the first 2 days of March following strong February performance. Returns tend to decline on days 4 and 5.
-
Long-term March returns for the S&P 500 have been middling compared to other months, with unremarkable gains.
-
When stocks surged in both January and February, March returns have historically been very weak, with an average 2.87% decline.
-
U.S. stocks kicked off March on a subdued note after the Nasdaq hit a 2021 high in the previous session. The Nasdaq was outperforming while the S&P 500 saw modest gains.