December is the time of the season when investors seldom have to worry about stock market performance, particularly in years that come before a presidential election.
"Trading in December is holiday-inspired and fueled by a buying bias throughout the month," Hirsch recently told subscribers.
"However, the first part of the month tends to be weaker as tax-loss selling and yearend portfolio restructuring begins."
December does even better for small-cap stocks, at least going back to 1979, delivering the year's second-highest monthly return.
That small cap return is usually back end loaded, however, only starting around the middle of the month.
Persons:
Jeffrey Hirsch, Hirsch, outsized, Dow Industrials, Russell
Organizations:
Nasdaq, Dow Jones, Nvidia, Tesla, Meta, Microsoft
Locations:
Decembers