What 1931, 1951, 1971, And 1991 Tell Us About 2011

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		SAI THE WIRE CLUSTERSTOCK MONEY GAME GREEN SHEET WAR ROOM LAW REVIEW LATEST VIDEO Thursday, March 10, 2011 What 1931, 1951, 1971, And 1991 Tell Us About 2011 Here's a nice convoluted chart for you. Bank of America/Merrill Lynch has compared what are two opposing trends currently intersecting in 2011. The first, that the third year in Presidential cycles are extremely bullish for the S&P 500. The second, that years ending in 1, or the "Decennial Pattern," are not bullish for the S&P 500. If you're completely torn between these two trends, have no fear, BofA Merrill Lynch have sorted it out for you. From BofA Merrill Lynch: Going back to 1930, the average price return for years ending in "1" in the Decennial pattern is a negative 1.4%. The "1" years are down 50% of the time. The good news is that when the "third" year of a Presidential Cycle is also the "1" year in the Decennial Pattern, there has only been one negative return going back to 1931. The years that were both Presidential Cycle Year Three and Decennial Year One are 1931, 1951, 1971, and 1991. The S&P 500 price returns for these years are as follows: 1931: down 47.07%, 1951: up 16.35%, 1971: up 10.79%, and 1991: up 26.31%. If you're keeping score at home, that leaves a 25% chance of a crash, and a 75% chance of a nice spike for the S&P 500. Read » Also On Clusterstock Today: FBI Agent Diane Wehner Is The First To Testify In The Raj Trial And We Get To Hear Raj's Voice For The First Time Get Ready For Some Raj Wiretaps That Are 'Worse Than An NFL Locker Room' The SEC Warns Hedge Funds: If You Beat The Market By 3%, We Are Looking Into You THE RAJ WIRETAPS BEGIN: How's The Market Treating You? Like A Baby Treats A Diaper Advertisement CHART OF THE DAY: The Simple Reason Stocks Have Had Such An Incredible Two Years CHART OF THE DAY: A 110-Year Look At Bond Yields Shows Why We're At The Start Of A Huge New Bull Market CHART OF THE DAY: If You Think The Silver Spike Has Been Impressive, Check This Out Share this email: Buzz Facebook Twitter Digg Reddit StumbleUpon The email address for your subscription is: dwyld.kwu.careers@blogger.com Change Your Email Address | Unsubscribe | Subscribe | Subscribe to the Clusterstock RSS Feed Business Insider. 119 Fifth Avenue, New York, NY 10003 Terms of Service | Privacy Policy

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