U.S. Money Supply Recently Did Something Last Witnessed During the Great Depression -- and It Historically Foreshadows a Big Move in Stocks

For a second consecutive year, Wall Street gave investors plenty of reason to smile. When the curtain closed on 2024, the ageless Dow Jones Industrial Average (DJINDICES: ^DJI), broad-based S&P 500 (SNPINDEX: ^GSPC), and innovation-inspired Nasdaq Composite (NASDAQINDEX: ^IXIC) had respectively rallied by 13%, 23%, and 29% for the year, and hit multiple record-closing highs along the way.But as history has shown, Wall Street's major stock indexes don't move up in a straight line.Investors are constantly on the lookout for predictive tools and data points that might signal a shift in the Dow Jones, S&P 500, and Nasdaq Composite and give them a competitive advantage. Even though no such tool or metric exists that's 100% accurate in forecasting short-term directional moves in the major stock indexes, there are a small number of data points and events that have strongly correlated with moves higher or lower in the Dow, S&P 500, and Nasdaq Composite over time.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool