"I remember the financial effect produced by Abraham Lincoln's death and others of the world's rulers since... The death of Lincoln had practically no effect on the stock market, because it occurred during a bear period, and only made conditions a little duller."
-- Henry Clews, prominent Wall Street figure.
The above appeared as a supplement to a New York Times article -- dated January 27, 1901 -- which described the U.S. stock market reaction to the recent death of Queen Victoria. The article was headlined: "STRENGTH OF WALL STREET" and sub-headlined, "Financial Outlook Not Affected by The Queen's Death." Here's an interesting quote:
"During the illness of Queen Victoria pessimists in Wall Street took delight in parading before the public all sorts of gruesome predictions as to the results, marketwise, that would surely follow upon the announcement of her death. When the announcement was made, the market continuing in the even tenor of its way, the same pessimists, not confounded, declared that the lull was but the calm before the storm -- that prices would surely break in a day or two, because of the fears and possibilities of international complications. Instead, prices have actually developed buoyancy..."
Queen Victoria reigned for much of the 19th century, when Britain was a great industrial power. The impact of her persona was such that an entire era was named after her -- "The Victorian Era." Yet, when she died, the U.S. stock market continued "in the even tenor of its way." Nay, "prices have actually developed buoyancy..."
Even the assassination of our great "Citizen of the Universe," who promoted "malice toward none," did not jolt the market from the course it was already traveling!
Have you watched Elliott Wave International president Robert Prechter's lecture at the London School of Economics, "Toward a New Science of Social Prediction"? If yes, could you pick out on the DJIA chart where President Kennedy was assassinated? You can't, can you? Don't worry: It's highly unlikely any of ten mutual fund managers could.
You see, events external to the stock market don't determine its course -- contrary to popular belief.
"I am unaware of any exogenous-cause claim that holds up under scrutiny... I have tested every exogenous-cause statement or assumption I have heard... So far, none of them work."
-- Bob Prechter, Elliott Wave Theorist, March 2010 (online now).
Something else other than external events is governing stock market movements.
We at Elliott Wave International are the experts on this "something else." After having observed market behavior for over 30 years, we believe we know what moves the market. You can put our knowledge to work for you right away -- risk-free, with a 100% money-back guarantee. See, we believe our analysts have the firmest grip on what really determines market action that you'll want to stick around -- that's why we're very comfortable offering you our Financial Forecast Service* risk-free when you click here.