But efforts at a late Santa Claus rally
failed to salve investors after a year that brought gains for very few categories of financial assets, from stocks to bonds and commodities.
But even a late Santa Claus rally
will do little to salve the 8 percent declines for the MSCI index this month and a year that brought gains for very few categories of financial assets, from stocks to bonds and commodities.
During this so-called Santa Claus rally
, share prices gain an average of 2.9 percent.
The next two or three weeks are historically a happy time for shareholders -- dubbed the Santa Claus Rally
-- as traders finish out one year and reach for optimism to start the next.
Wall Street's volatility remained last week despite largely upbeat economic data, and the so-called "Santa Claus rally
" expected in December has not appeared.
While Lululemon's comps will "inevitably slow against difficult compares," its double-digit revenue growth can continue, Duffy tells investors in a research note titled "Opportunity in Uncertainty, Santa Claus Rally
Hasn't Come but We Found a Gift, Upgrade to Buy." The analyst sees potential upside to Q4 and 2019 consensus estimates, and views the company's 2020 objectives of $4B in revenue and implied earnings power of $5.00 per share as "low hurdles." As such, he expects Lululemon's "premium multiple will hold." Despite fundamental strength, the stock's multiple has compressed, resulting in a 26.7% selloff in shares since the September 28 highs, Duffy points out.
According to an investment report by United Capital titled 'is a Santa Claus rally
imminent' the analysts noted that history shows 'the All Share Index has averaged a return of 2.8 percent in the final month of the year since 1998 - second only to May which has averaged 5.3 percent.'
The market experienced a trifecta, beginning with the Santa Claus rally
during the seven-day stretch that ended Jan.
Pak Equities extended on gains seen yesterday with the recovery spawning a new set of legs as investors lined up for the Santa Claus rally
. Expectations of timely elections and naming of his brother Shahbaz as next in line for the slot of premiership by ousted PM Nawaz Sharif helped the index gain (1.3%), said a dealer at Topline Securities.
"I expect the Santa Claus rally
to carry on for the weeks ahead given no negative surprises.
In a blog post earlier this month, Brad McMillan of Commonwealth Financial Network noted that the S&P was already up more than 3% in the month and near its all-time high, writing that "the post-election rally has morphed into a Santa Claus rally
without missing a beat." As for Dow 20,000, McMillan pointed out that such milestones "first act as a ceiling, but if there's enough energy to move through them convincingly, they then tend to act as a floor." However, McMillan concluded that with both fundamentals and consumer confidence improving, "if we can break through Dow 20K, future gains are likely," helped along by institutional investors' year-end buying.
STOCK market investors get excited at this time of the year about a 'Santa Claus rally
', with markets rising more in December than other months.