Excerpt from Yahoo Finance quoting DataTrek co-founder Nick Colas:
…. “DataTrek’s Nicholas Colas reminded us in a newsletter this week why it’s so hard, pointing out that even though the S&P 500 is down over 23% year to date, “9 single days make up that entire decline.”
“Without them, in fact, the index would be up 8.6% YTD,” Colas wrote.
The bad days, he pointed out, largely occurred on days with bad macroeconomic or Fed-related news — events that are typically scheduled! So, even though Colas suggests caution going into Thursday’s CPI release — another one of those scheduled events — the flip side of the risk picture is that stocks can go up, too, and that the big winning days are similarly responsible for the market’s path up and to the left. Just because you know what’s coming doesn’t mean you know what’s going to happen when it comes”….
Full article here on Yahoo Finance.