Australia  

Trusted News Discovery Since 2008
One News Page
> >

What Is a Santa Claus Rally?

Video Credit: The Street - Duration: 01:22s - Published < > Embed
What Is a Santa Claus Rally?

What Is a Santa Claus Rally?

What is a Santa Claus rally?

This is when stocks see big gains around Christmas time and early January.

You're confused.

Investors aren't stupid.

They're not going to start buying stocks and getting optimistic because it's Christmas time.

And this is correct.

There are actually several reasons and theories as to why stocks can sometimes post strong gains during this time of year.

While one theory is that there's slightly increased optimism, a kind of subconscious optimism, during the holidays, there are other more compelling theories.

Firstly, consumers spend more during the holidays.

This makes investors optimistic.

Of course, the market already knows this and the real question is 'will consumer spend beat estimates?'

Secondly, institutional investors may sometimes sell some of their positions before the holidays, leaving most stock trading to retail investors, who can be very bullish.

Of course, you'd see a slight downtick when many institutional investors sell.

To see how a smart investor should think about this, watch the video above.

Bull Market Fantasy: LIVE TUESDAY & THURSDAY @10:45AM Subscribe to our Youtube Channel for more videos : Listen our latest Podcasts on Soundcloud Catch Up: Today's Top News Videos Below

0
shares
ShareTweetSavePostSend
 

You Might Like


Tweets about this

iam_olutayo

#BringBackOurGirls🆖 The Treasury Bills rate keeps nosediving yet the capital market is bearish. Even Santa Claus has forgotten the NSE… https://t.co/5czLcFf1iz 12 hours ago

BamaTrader

BamaTrader RT @hmeisler: RUT been red 4 of the last 5 trading days. What Santa Claus rally? 15 hours ago

hmeisler

Helene Meisler RUT been red 4 of the last 5 trading days. What Santa Claus rally? 21 hours ago

twit691dude

RiskManager What a fantastic Santa Claus rally folks? Wonderful market or what? ENJOY! Did you make humongous gains by buyin… https://t.co/lJgPbntC2h 1 day ago

CryptoNewsTO

Crypto News Toronto 🇨🇦 Stock Market Gurus Promised You a Santa Claus Rally – What Happened? https://t.co/ng6MjjzmbD https://t.co/LmBujqboFT 3 days ago

trimtabsadvisor

TrimTabs Asset Management RT @YahooFinance: Highlight: "This has been a fabulous Santa Claus rally," @trimtabsadvisor Portfolio Manager Janet Johnston says. "In some… 3 days ago

btcnewsapp

BTCnews iOS App Stock Market Gurus Promised You a Santa Claus Rally – What Happened? - CCN via BTCnews for iOS https://t.co/MD6JjpBhlL 3 days ago

erich_strasser

Erich Strasser 🔥 Stock Market Gurus Promised You a Santa Claus Rally – What Happened? https://t.co/0fqL9KfDus #DowJones #SP500 https://t.co/L48hWxybtt 3 days ago

Environmentally friendly: One News Page is hosted on servers powered solely by renewable energy
© 2020 One News Page Ltd. All Rights Reserved.
About us  |  Contact us  |  Disclaimer  |  Press Room  |  Terms & Conditions  |  Content Accreditation
 RSS  |  News for my Website  |  Free news search widget  |  In the News  |  DMCA / Content Removal  |  Privacy & Data Protection Policy
How are we doing? FeedbackSend us your feedback  |   LIKE us on Facebook   FOLLOW us on Twitter  •  FOLLOW us on Pinterest
One News® is a registered trademark of One News Page Ltd.