Wednesday, December 26, 2012

Market Performance on the Friday Before Memorial Day

The federal law that moved Memorial Day to the last Monday in May took effect in 1971. Below we highlight the performance of the S&P 500 on the Friday before Memorial Day (FBMD) since then.

The average change on the FBMD since 1971 has been 0.12% (median 0.18%) with positive returns 59% of the time. This isn't great, but it's better than the average performance of about 0.03% for all days since 1971.

Over the last ten years, however, the average change has been negative at -0.28%. Three of the FBMDs over the last ten years have been -1%+ days, while we haven't seen one 1%+ up day. (Click to enlarge)

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