This year, the index fell 1.7% in August.īut during these years, the S&P 500, on average, rises 2.3% in September and gains more than 9% from September through year-end. When the S&P 500 is up more than 10% entering August, as was the case in 2023, the benchmark index typically falls 3.2% in August. Though as Yahoo Finance's Jared Blikre highlighted last week, the rally to start 2023 might put history on the side of investors. Dating back to 1945, September has historically been the year's worst month for the S&P 500 with the index falling, on average, 0.7% during September and logging gains less than half the time. The rebalancing of labor supply and demand is going more smoothly than we initially anticipated, keeping the prospect of a soft landing alive.'Īnd though developments in the economy may be favorable for the Fed - and by extension, investors - those looking at the seasonal forces in play for the stock market may find fewer positives in the coming week.Īfter a choppy August, stocks are now entering a historically bad month. 'The trend in job growth continued to slow, the unemployment rate rose, labor force participation increased, and earnings growth decelerated, all signs that a better balance between the supply and demand for labor continues to evolve. 'The August employment report gives the Fed plenty of room to leave policy steady through this year and into next,' Sweet wrote. Ryan Sweet, chief US economist at Oxford Economics, wrote in a note on Friday it was a 'good week for those in the soft-landing camp.' (Photo by Natalie Behring/Getty Images) (Natalie Behring via Getty Images)

Kazuo Ueda (C), and chair of the Federal Reserve Jerome Powell (L) speak during the Jackson Hole Economic Symposium at Jackson Lake Lodge on Augnear Jackson Hole, Wyoming. President of the European Central Bank Christine Lagarde, Bank of Japan Gov.

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