Stock Market Implications of a Recession

If we assume recession is coming fairly soon, though it will likely be short and shallow, then what does that mean for stocks? This week Brian looks at recessions back to the early 1970s to see how the S&P 500 Index performed during the 12, six, and three months before those economic downturns began. <br/><br/>On average, six months before, the index has fallen 1.4%, though the median is slightly positive at 1.0%. Three months before recessions began, performance was a bit weaker, with an average and median decline of 1.6% and 3.8%, respectively.<br/><br/>Click here for the chart<br/><br/>Tracking 1-05372748Questions? Email us at info@FordFG.com.<br/><br/>Web: FordFG.com<br/><br/>Music: Cold Funk - Funkorama by Kevin MacLeod is licensed under a Creative Commons Attribution license. Source. The Advisors of Ford Financial Group are a Registered Representatives with, and securities are offered through LPL Financial, Member FINRA/SIPC. Investment advice offered through Perennial Investment Advisors, a registered investment advisor. Perennial Investment Advisors and Ford Financial Group are separate entities from LPL Financial. This material is for general info only and not intended to provide specific advice or recommendations for any individual. There is no assurance that the views or strategies discussed are suitable for all investors. To determine which investment(s) may be appropriate for you, consult your financial professional prior to investing. Investing involves risks including possible loss of principal. No investment strategy or risk management technique can guarantee return or eliminate risk. Indexes are unmanaged statistical composites and cannot be invested into directly. Index performance is not indicative of the performance of any investment and do not reflect fees, expenses, or sales charges. All performance referenced is historical an...