These Two Weeks

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Data since 1980 shows that U.S. equity markets on average gain 0.06% in the week prior to the Memorial Day holiday. The week following the holiday historically has been one of the strongest weeks for U.S. equity markets.

This is the season to be cautious! The period of seasonal strength for many sectors and markets recently has passed. A possible upside opportunity in equity markets for the Memorial Day trade could appear next week. At best, Canadian investors should not sell Canadian equities prior to U.S. Memorial Day when Canadian equities have recorded one of their strongest daily gains in the year.