Analysis of whether U.S. stocks are falling or rising at Christmas
According to some market participants**, the frenzied rally in US stocks, supported by technical and seasonal factors, will continue in December.
Why do U.S. stocks have a year-end effect?
Towards the end of the year, both on Wall Street and in the eyes of investors, the year-end effect has become a hot word in the US stocks, which has further fueled investors' risk sentiment to a certain extent. In the next month, will the magic of continuing to happen?
The so-called year-end effect refers to the market performance of U.S. stocks from Thanksgiving to Christmas, that is, from November 28 to December 25 for nearly a month.
Historically, a major sell-off in U.S. equities is generally unlikely in December, as U.S. equity portfolio managers typically tend to increase their positions by the end of the year with a better performer.
Driven by this seasonality, U.S. equities typically perform strongly during the last five trading days of December and into the start of the new year.
In addition, the recent movements of many U.S. executives can also strengthen the confidence of U.S. stock bulls. Data compiled by the Washington Service showed that U.S. executives were more likely in November, pushing the bid-to-sell ratio to its highest level in six months.
How much income tax do U.S. stocks have to pay?
It depends on the identity of the investor and the specifics of the investment returns. Generally, investors are required to pay income tax in accordance with local tax regulations. The exact tax rate and calculation method may vary depending on the country, region, and identity of the investor.
The market is closed for a few days at Christmas**.
It depends on the local ** exchange and relevant regulations. Generally, the market is closed during Christmas as it is an important holiday. The specific market break time and number of days may vary depending on the exchange and local regulations, and investors need to check the relevant arrangements in advance.