Let’s talk about the possibility of a market storm in September. The market has hit a soft patch. We look at the S&P 500 seasonality average from 1976 to 2023, and the differences between non-presidential and presidential election years.

The market has begun its digestive phase after the strong rally off the bottom of the 50-day test. These are normal and healthy market actions that also fit with seasonality. Once the election is decided, companies will have unspent capital budgets and a year-end deadline. This typically creates a lift at the end of the year. We look forward to seeing how this continues to be shaped in the months to come!