Get ready for a midterm election after-party on Wall Street.
If history is any guide, stocks are about to rise a lot. U.S. stocks have gone up substantially during the six months following the past 13 midterm elections.
If that perfect track record isn’t compelling enough for you, the average S&P 500 rally during those six-month stretches was an impressive 16.5%, according to BTIG. That crushes the average November to April gain of just 3.7% in all other years.
“After midterms, you often get deals that investors view favorably. Ultimately, you end up with higher stock prices,” said Dan Greenhaus, chief global strategist at BTIG.