Australian stocks have enjoyed a good start to December with the All Ordinaries Index currently up 2.1%.
That’s not unusual for December. Indeed, it’s almost exactly the average seen going back to 1985.
This chart from AMP Capital’s Shane Oliver shows how not only the All Ordinaries tends to fare over the year, but also the US S&P 500. It’s also had a stonking run in December, rallying 2.15% so far.
Pretty impressive gains in such a short period of time.
And the fat man in the red suit with a sack full of buy orders hasn’t even arrived.
Should the fabled “Santa Claus” rally ensue again this year — a period that tends to coincide with reduced trading volumes and wafty market gains — December 2016 could easily be a better end to the year than normal.