Stock-market investors rattled by the recent selloff may find relief after the midterm elections, regardless of which party wins. Historical data suggests a rebound often follows the November vote.
The S&P 500 has delivered an average return of 15.5% in the nine months between Election Day and June 30, according to data going back to 1950. That pattern has held across both parties.
The finding offers a measure of calm for investors unsettled by recent losses. Market drops often stir anxiety, but post-election history points to a different path.
The data spans more than seven decades of elections. It covers periods of divided government and single-party control alike, with returns staying consistently positive on average.
Averages do not guarantee future results. Past performance can diverge sharply from what comes next, and investors should weigh the record against current conditions.
Still, the historical trend gives nervous investors a reason to look past short-term volatility. The months after midterms have often rewarded patience.
For now, the market remains focused on the near term. The longer record suggests the period after November could bring steadier ground.
