The stock market is in a “bull market.” A bull market, for those unfamiliar with the term, is defined as a sustained period of stock market gains where prices rise by 20% or more from a recent low.
One question we often hear is: how long do bull markets usually last?
The answer: likely longer than you’d think.
As you can see on this week’s featured chart, there have been 11 bull markets since 1949 (not including the current one). And on average, they have lasted 67 months—about 5 ½ years.
By comparison, the current bull market, which started in October 2022, is only 25 months old. For context, only one bull market in history was shorter—the post-Covid rally in 2020 that got cut short when the Fed hiked rates aggressively to tame inflation.
The takeaway? If history is any guide, this bull market may still have plenty of room to run, likely lasting much longer than many investors expect.
This is intended for informational purposes only and should not be used as the primary basis for an investment decision. Consult an advisor for your personal situation.
Indices mentioned are unmanaged, do not incur fees, and cannot be invested into directly.
Past performance does not guarantee future results.
The S&P 500 Index, or Standard & Poor’s 500 Index, is a market-capitalization-weighted index of 500 leading publicly traded companies in the U.S.