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S&P 500 Set to Post Worst First-Half Return Since 1970

Published 06/29/2022, 06:37 AM
Updated 06/29/2022, 10:38 AM
© Reuters.  S&P 500 Set to Post Worst 1st-Half Return Since 1970
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By Sam Boughedda

The S&P 500 is set to report its worst return for the first half of the year since 1970, with only two trading days left in June.

S&P Dow Jones Indices, the group behind the S&P 500, said it is also the third-worst in the "Hall of Infamy" when they assessed the S&P 500's live history, going back to 1957.

The S&P 500 officially entered bear market territory two weeks ago. Recent data from S&P Dow Jones Indices noted that the average bear market produces a negative 38.3% return and lasts 18.6 months.

However, they said there is little to no correlation between the S&P 500's performance in the first half of the year compared to the second half of the year. For example, the group said that in 1970, the index lost 21% in the first half and gained 27% in the second half of the year, closing the year up by 0.1%.

Data suggests the current bear market official started at a price of 4,796.56, while the average bear market data suggests the current bear market will end in September 2023, with the S&P 500 at 2,959.

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