Bad things have happened in the stock market during years ending in 7. However, 2017 has been remarkably calm, and our year-to-date draw-down is the smallest since at least 1947 (see Chart 1). Will the market now play catch-up (or is catch-down?) to its Year 7 history over the next few months? Inevitably, the sample size is small, but you can read about the quirks in Year 7 returns from LPLresearch , Dana Lyons, and Safehaven.
Chart 1: The worst yearly draw-down for years ending in 7 since 1947 shows that the 2017 year-to-date month-end draw-down is much smaller than its other counterparts. Will the market catch-down to its historical returns over the next few months?