**Midterm Rally Pattern**

**US stocks** tend to rally after **Midterm elections**. Since **1950**, the **S&P 500** has returned **+17.2%** on average in the **following year**, its strongest **Presidential cycle** return, finishing higher in **17 of 19** years.

That compares with **+4.6%** during **midterm years**, when it rose in **11 of 19** years, and **+8.1%** in **Year 4**, when it rose in **16 of 19** years.

In **Q4** of midterm years, the index has returned **+6.6%** on average, the cycle’s strongest quarter. History suggests **US equities** will extend their rally after **Midterm elections**.

 [Trade on WEEX](https://www.weex.com/en/register?vipCode=stockbot)** ****