rise in equity markets

Below is a synopsis of this investment report:

• A “Santa Claus” rally is used to describe the phenomenon of equity markets trending upward during late December.
• Explanations for this repeated behavior include tax considerations, lower liquidity around the holidays, and buying in anticipation of a rise in stock prices during the month of January.
• Given the Fed’s decision to begin tapering and the subsequent market response, it would be encouraging if we continue to see the market move higher into the New Year.

 

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