To The Moon

The 🇺🇸 U.S. [USD]  stock market has had a very tough year 2022. So naturally investors are now hoping for a Santa rally to soften the pain and potentially brighten the outlook for 2023. 

The $S&P 500(.SPX)$ has so far lost around 6%, weighs down by declines in shares of $Tesla Motors(TSLA)$ $Amazon.com(AMZN)$ and other stocks that had led the stock market higher in previous years. S&P 500 is down nearly 20% year-to-date and on track for its worst annual performance since 2008.

History shows the market still had a chance to pare those losses. U.S. stock market have historically risen during the last five trading days of Decemberand the first two days of January about 75% of thetime. This is due to low liquidity, tax-loss harvesting and investing of year-end bonuses. This year's Santa Rally if happens, will only be clear around the second trading day of 2023. The phenomenon has lifted the S&P 500 an average of 1.3% since1969, according to the Stock Trader's Almanac. A December without a Santa rally has been followed by a weaker than average year, data from LPL Financial going back to 1950 showed. 

When Santa Rally is absent that typically means that there's something in the market that is causing confusion or an obstacle that it is facing. Negative sentiment diesnt change because it's a new year.

This month's steep decline underscores how seasonal trends seem to be offset by worries over whether the Fed will plunge the economy into recession. 

Hope the $NASDAQ(.IXIC)$ and $DJIA(.DJI)$ are positive when the market opens tomorrow and for the coming week. 

@TigerStars @MillionaireTiger