Over the last 40 trading days spanning back to mid-July, the difference between the S&P 500’s highest and lowest daily closing price has been just 1.75%. That’s pretty amazing. And it’s a level of sideways that the US stock market has never experienced before.
Below is a chart showing the 40-trading day high/low closing price spread for the S&P 500 since the index began in 1928. Not one time has a 40-trading day period seen a lower spread. The only period that comes close occurred in the mid-1960s. Who would have thought back in early July just after the Brexit vote and ahead of the 2016 Presidential conventions that the stock market was about to embark on its flattest trek ever.