February Blues: Stocks Historically Struggle in Election Years
• The stock market often struggles in February, averaging a 0.1% decline for the S&P 500 since 1928 • February returns are more than twice as bad in election years, with the S&P 500 averaging a 0.3% drop • The S&P 500 ends February with losses 50% of the time overall, rising to 50% of the time in election years • The Dow Jones Industrial Average averages negative returns in February, declining 0.2% on average • February is when most companies report Q4 earnings from the prior year, which can drag on stock prices