How Much Higher Can The S&P 500 Go?
b'With\\xa0Sam Stovall, Managing Director, U.S. Equity Strategy of S&P Capital IQ\\u2019s Global Markets Intelligence group; Author - The Seven Rules of Wall Street, The Standard & Poor\\u2019s Guide to Sector Investing
Sam Stovall is an analyst, publisher and communicator of Standard & Poor\\u2019s outlook for the economy, market, and sectors. Sam is Chairman of the S&P Investment Policy Committee, where he focuses on market history and valuations, as well as industry momentum strategies.
Sam\\u2019s a frequent guest on the show and talks about the potential impact of a widely expected interest rate hike by the Federal Reserve in December 2015. Sam reminds us that the fourth quarter has historically (since World War II) been the best for stocks, with an average 4% gain in the S&P 500.
But with a great rally in the S&P 500 in October \\u2013 driving shares up more than 8% - did sap the expected performance for the rest of the year? \\xa0Sam, alas, says yes\\u2026 so don\\u2019t be surprised if shares don\\u2019t rise as much or perhaps even drop in November and December. Sam expects November and December to still be positive and\\xa0would not recommend\\xa0trading on this idea.
He also addresses how the upcoming presidential election on November 8, 2016, might impact the markets. Since World War II, the S&P 500 has been up 6% on average in each election year\\xa0 -with virtually no down year- \\xa0so things continue to look good for stocks. \\xa0It is a common Wall Street adage, "as goes January, so goes the year," \\xa0so all eyes will be on how markets perform this\\xa0January. Sam also addresses different sectors of the economy, global investing and the impact of lower energy prices. He also urges investors to rotate out of sectors instead of selling everything and hoping to time the market.'