Dow Jones Stock Markets: Dow, Nasdaq, S&P 500 fall sharply; Nvidia worst-hit; Top 3 reasonshttps://t.co/ZEb4ZN4Pgf
— ET NOW (@ETNOWlive) April 17, 2025
The stock market experienced a rare event on April 9 when the Dow Jones Industrial Average, S&P 500, and Nasdaq Composite all logged their largest single-day nominal point gains in history. According to Ryan Detrick, Chief Market Strategist at Carson Group, this type of “outsized single-session gain” has only occurred seven times in the last 45 years. On April 9, the New York Stock Exchange saw advancing volume top 97%, with 98.6% advancing volume being the highest on record since 1980.
Stocks To Watch | 📊Ready, set, trade! Keep an eye on these stocks as they set the market abuzz #StockMarket #TrumpTarrifs pic.twitter.com/AdfXcJ3cLB
— ET NOW (@ETNOWlive) April 17, 2025
Historical data shows that while the S&P 500’s performance one month after such a day can be mixed, the index has consistently achieved double-digit percentage gains one year later in all six prior instances.
Historical ups drive future gains
On average, the S&P 500 saw a 12-month gain of 29.2% following these high advancing volume days, more than triple its average annual return of 9.2% since 1950.
This historical precedent offers encouragement for long-term investors, even amidst short-term volatility related to tariffs and valuations.
Q: Is there a Fed put for the stock market?
Powell: "I'm going to say no, with an explanation…"
— Nick Timiraos (@NickTimiraos) April 16, 2025
The long-term expansion of the U.S. economy and the resilience of productive businesses have a track record of driving major indexes to new highs over time. It’s important to note that while this strong correlation between historic up days and future returns does not guarantee the S&P 500 will be higher 12 months from now, patience has consistently paid off for long-term investors.
The US stock market does not like what it is hearing so far from Chair Powell's Q&A.#economy #markets #stocks #investing #investors #FederalReserve pic.twitter.com/dKpQApbDzI
— Mohamed A. El-Erian (@elerianm) April 16, 2025
The market may experience whipsaws in the coming months, but it’s likely that time-tested businesses and economic growth will eventually lift the market to new heights.
