Almanac Trader

NASDAQ’s Midyear Rally has blasted past historical average performance with two days of trading remaining. As of the close on July 9, yesterday, NASDAQ gained 4.0% since the start of its Midyear Rally on June 26 compared to an average gain of 2.5% since 1985. As this is being written, NASDAQ is up nearly an additional 1% intra-day pushing Midyear Rally gains to nearly 5%. Tech-heavy S&P 500 and Russell 1000 have also benefited, gaining around 2% each since the start of July before today’s gains. DJIA is modestly positive, but Russell 2000 is not.

Officially, the Midyear Rally ends on the 9th trading day (Friday, July 12), but with July being the top S&P 500 and NASDAQ month over the last 21 years strength could persist modestly longer this year, perhaps until around July 18. However, with three of five indexes having already logged above average gains the bulk of the rally may likely have already transpired.