Market Commentary 31488
May, 2019 Data:
Part 1
FORECASTS
12 MONTH FORECAST
The 12 month forecast for the CAC 40 Index is in the table at the top of this
page. Forecast-Chart.com is forecasting a CAC 40 Stock Index of 5088. The
table shows a HDTFA of 770 which suggests that the June, 2020 CAC 40 could
easily close anywhere between 5858 and 4318. Links to Forecasts for
twenty-two other stock indexes may be found by clicking Stock Market Forecast
at the top of any page.
BULL MARKET or BEAR MARKET?
An updated primary trend forecast for the U.S. Stock Market is provided to
subscribers only. A time delayed primary trend forecast is provided to non
subscribers. Artificial Intelligence is used to forecast major turning points in the
broad U.S. Stock Market. The forecast is either a Bull Market Signal (up) or a
Bear Market Signal (down). This mathematical system performed very well in a
one hundred year backtest and also in real time since going live in 2005. To get
the forecast signal for the broad U.S Stock Market, click Stock Market Forecast
at the top of any page. Then select the Bull Market & Bear Market Forecast.
10 YEAR FORECAST
Forecast-Chart.com publishes a 10 Year Forecast for the following stock
market indexes: Dow Jones Industrial Average, FTSE 100 (United Kingdom),
Hang Seng (Hong Kong), S&P 500, S&P SmallCap 600, S&P MidCap 400,
NASDAQ 100, TSX Composite (Canada), Russell 3000, Russell 2000, Russell
1000 and the Wilshire 5000. For example, the probability that the S&P 500
equity index will be down at least 20% in 10 years is estimated (May, 2029 close
compared to May, 2019 close). Over 100 YEARS of historical data was used to
calculate the probabilities. The indexes with the highest probability of gaining
over 200% in the next 10 years are the Hang Seng and the S&P TSX Index. The
indexes with the lowest probability of gaining over 200% in the next 10 years
are the S&P SmallCap 600, S&P MidCap 400, Russell 2000, NASDAQ 100 and
the Dow Industrial Average. To see these forecasts, click the Stock Market
Forecast link at the top of any page, then select the index you are interested in.
Part 2
MARKET HIGHLIGHTS
All Time High 6638 (July, 2000)
May, 2019 close 5249
Decline From All Time High 21%
10 Year Return 60%
5 Year Low 4233 (October, 2014)
Gain From 5 Year Low 24%
The highest all time monthly close in the CAC 40 Index was 6638 in July, of
2000. The May, 2019 close was 5249. That's a decline of 1389 points or 21%
below the CAC 40 Stock Index all time high. The CAC 40 Index is up 60% over
the last 10 years. It has lost 3% over the last 12 months.
The May close was 337.50 points lower than the April, 2019 close of 5586,
resulting in a 6.04% decline for May.
The 5 year market low for the CAC 40 Stock Index was 4233 in October of
2014. The May, 2019 close at 5248.91 represents a 24% gain since October,
2014.
Forecast-Chart.com's historical research covers the CAC 40 back to March,
1990. All calculations are based on the monthly market close in the CAC 40
Index, excluding dividends.
This page provides a five year chart and a forecast for the CAC 40 Stock Index.
For links to longer term charts, look at the links under the five year chart
(above). One link opens a ten year chart. Another opens our longest term
graph on the CAC 40 Index. Just one glance at our long term charts can
provide tremendous insight into the historical trends of the financial markets.
The table above presents historical data on the CAC 40 Stock Index
categorized by the months of the calendar.
Part 3
ROLLING RETURNS, 1990 - 2019: CAC 40 Index
Rolling Period Last / Percentile Best / Average / Worst
1 Year -3% / 30th 50% / 6% / -44%
2 Year -1% / 35th 110% / 13% / -54%
4 Year 5% / 33rd 232% / 28% / -48%
8 Year 31% / 46th 298% / 48% / -50%
16 Year 70% / 59th 283% / 71% / -36%
How do you read the table?
For example: Rolling 2 year period returns are shown on the second row. In the
latest rolling 2 year period, (6/2017 - 5/2019), the CAC 40 Index returned -1%.
That period scored in the 35th percentile, meaning that it scored better than
35% of all rolling 2 year periods since 1990. The Best rolling 2 Year period
since 1990 returned 110%. The worst returned -54%. The average rolling 2
year period returned 13%.
What is a rolling period?
It's an overlapping period in a data base. For example: In the 2 year period
included in 2000 - 2001, there are 13 complete rolling 12 Month Periods. The
first is January, 2000 - December, 2000. The second is February, 2000 -
January, 2001. The third is March, 2000 - February, 2001 and so on. The last
complete rolling 12 Month Period in the 2000 - 2001 period is January, 2001 -
December, 2001.
How is this information useful?
Best and worst case scenarios may be estimated based on historical facts.
Also, the relationship of the periods is sometimes very helpful. Suppose that the
worst rolling 8 year period in the last 50 years returned -30%. Suppose also
that the latest 4 year period has returned -50%. Market psychology at this point
may be one of great fear or possibly even panic. If the market stays flat for 4
more years, it will break the 8 year decline record by a whopping 20%! (-50%
minus -30% equals -20%.) 50 plus year records are not often broken. That
provides reason to hope that the market will recover that 20% over the next 4
years. If it does, then the 8 year loss will be 30%. The longest index histories
are found in the DJIA, FTSE 100 with FT 30, DJTA, DJUA, S&P 500, & NASDAQ
100
The number of periods in each category for the CAC 40 Index are as follows:
1 Year: 340
2 Year: 328
4 Year: 304
8 Year: 256
16 Year: 160
Dividends are not included.
Updated Tuesday, June 25, 2019.
SignalTrend Inc. 2008 - 2019; All rights reserved.
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Monthly close for the CAC 40 Stock Index is plotted in gray. The forecast for the target month is shown
in green. See other links related to this stock index below.
CAC 40 Stock Index - 5 Year History
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CAC 40 Index Forecast
Stock Market Forecast: CAC 40 Index
CAC 40 Index: Historical Monthly Change
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April May June
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1.61 -1.25 -2.52
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July Aug Sept
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0.03 -1.47 2.56
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Over the last 20 years, certain months have typically performed better than others. The average monthly return for each calender month over the last 20 years is shown above. Dividends are not included.
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1/14
1/2017
CAC 40 Stock Market Index Forecast (France)
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Target Month: Forecast: HDTFA:
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Forecast for the monthly close of the CAC 40 Stock Index for the target month indicated. See commentary below.
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