Who says August isn't a bully month for S&P 500 stocks? Investors conscionable scored much large gains successful the month.
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Powered by jumps successful stocks similar accusation exertion person Paycom Software (PAYC) positive user discretionary plays similar Penn National Gaming (PENN) and Etsy (ETSY), the S&P 500 blasted higher for its seventh-straight monthly summation successful August, says an Investor's Business Daily investigation of information from S&P Global Market Intelligence and MarketSmith.
Gains successful August are stringing unneurotic existent wealth for investors.
Had you invested $10,000 successful January and reinvested your wealth into the apical banal presently successful the S&P 500 each period this year, including Paycom successful August, you'd person an eye-popping $109,333 now, says an Investor's Business Daily investigation of information from S&P Global Market Intelligence and MarketSmith.
That's a almighty eight-month summation of 993% from holding 8 stocks. That adjacent beats the impressive emergence successful the S&P 500 this twelvemonth truthful far, which turned a $10,000 concern into $12,073. The S&P 500 is up 3.2% successful August.
Yes, it's existent you'd make much connected immoderate meme stocks. But it's conscionable the opening of what's turning retired to beryllium a banner 2021 for the S&P 500 truthful far. Investors hauled successful $8 trillion this twelvemonth truthful acold successful insubstantial gains, says Wilshire Associates.
Driving The S&P 500 Higher In August
Surprised? August is known arsenic a unsmooth period for the S&P 500. But the S&P 500 really rocketed 3.2% during the August of 2021. That's the cardinal index' apical monthly showing since March. And investors staying invested are profiting handsomely.
Hindsight is 20/20. And clearly, fewer if immoderate investors could person pulled disconnected picking the apical S&P 500 banal each period arsenic it's not a repeatable strategy like this is.
But it goes to amusement you however this S&P 500 is smashing immoderate obstacles that basal successful its way. And that goes adjacent successful August, traditionally a pugnacious period for the S&P 500. Going backmost to 1950, the S&P 500 slipped 0.2% successful August connected average, says Stock Trader's Almanac. That ranks August arsenic the eleventh-worst period of the twelvemonth for the index.
Investors, though, recovered plentifulness of reasons to bargain S&P 500 stocks successful August 2021 anyway. Roughly two-thirds of the stocks successful the S&P 500 roseate during the month. And of those, astir a tenth jumped by 10% oregon more.
Take for lawsuit Paycom. The top-notch supplier of HR tools to employees turned connected the jets during the month, shooting up much than 22%. That makes it the apical performing S&P 500 banal during the month. Early successful the month, connected Aug. 3, Paycom posted 56% higher nett per stock of 97 cents successful the June quarter. That topped expectations by much than 15%.
Paycom Is Just The Latest In String Of Big S&P 500 Gains
The large summation successful Paycom is lone the extremity of an $8 trillion year-long rally.
Top S&P 500 stocks successful each period of the twelvemonth item the changing and shifting moods of the market. Meme stocks and speculative plays similar Discovery (DISCA) took complaint successful January, contempt the S&P 500 falling 1.1% successful that month. But it's been mostly consecutive up since then.
Energy stocks similar Marathon Oil (MRO) jumped successful February. And that past turned to spot successful materials stocks similar Nucor (NUE) and industrials similar Equifax (EFX) successful March and April. But lately, wellness attraction took implicit with stocks similar Biogen (BIIB) and Moderna (MRNA) successful June and July.
Is it present technology's opportunity to complaint higher again? In the meanwhile, you person $109,333 to clasp you over.
Top Current S&P 500 Stocks Each Month In 2021
Being successful the close banal each period turned $10,000 into $109,333
| January | Discovery | (DISCA) | 37.7% | Communication Services | -1.1% | $10,000 | $13,770 | 30 |
| February | Marathon Oil | (MRO) | 53.3% | Energy | 2.6% | $13,770 | $21,109 | 65 |
| March | Nucor | (NUE) | 34.2% | Materials | 4.2% | $21,109 | $28,329 | 99 |
| April | Equifax | (EFX) | 26.6% | Industrials | 5.3% | $28,329 | $35,864 | 94 |
| May | NortonLifeLock | (NLOK) | 28.0% | Information Technology | 0.5% | $35,864 | $45,906 | 83 |
| June | Biogen | (BIIB) | 29.5% | Health Care | 2.2% | $45,906 | $59,449 | 58 |
| July | Moderna | (MRNA) | 50.5% | Health Care | 2.3% | $59,449 | $89,470 | 84 |
| August | Paycom | (PAYC) | 22.2% | Information Technology | 3.2% | $89,470 | $109,333 | 97 |
Sources: IBD, S&P Global Market Intelligence
Follow Matt Krantz connected Twitter @mattkrantz
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