Chart of the Day - Wednesday, March 3rd, 2021

Today’s Chart of the Day was shared on Twitter by Chris Verrone of Strategas Research (@verrone_chris). We're nearly one full year into the current bull market. The S&P 500 is up more than 70% since the infamous March 23rd low last year. Chris points out that, on average,  the second year of a bull market tends to be less impressive than the first year, but still pretty good! According to the data in the table, the S&P 500 has historically gained an average of 42.2% in the first year of a bull market, and 12.7% in the second year. The average max drawdown in the second year of a bull market is 9.8%, so a correction within the next 12-months would be perfectly normal for the second year of a bull market.