CHART OF THE DAY: Bear Markets Don't End Quickly With A Bailout

03/27/20 07:53AM EDT

 Below is a chart and brief excerpt from today's Early Look written by Hedgeye CEO Keith McCullough.

CHART OF THE DAY: Bear Markets Don't End Quickly With A Bailout - 06.30.2017 bear tracks cartoon

Before you stop reading because you want this bear/crashing market to end as soon as it started, bear with me and review the history of recessions and their commensurate bear markets:

A) As you can see in today’s Chart of The Day – Bear Markets Don’t End Abruptly
B) On peak to trough GDP declines of -18-27% the duration of Bear Markets are either 34 or 61 months
C) On the peak to trough GDP #slowdown post 9/11 of -0.3%, the Bear Market lasted 31 months

But many of the questions in my inbox want this one to last 1 month! Even our #Quad4 US Equity Beta crash call of Q4 of 2018 lasted 3 months (and that was during an economic expansion!).

CHART OF THE DAY: Bear Markets Don't End Quickly With A Bailout - 49

© 2024 Hedgeye Risk Management, LLC. The information contained herein is the property of Hedgeye, which reserves all rights thereto. Redistribution of any part of this information is prohibited without the express written consent of Hedgeye. Hedgeye is not responsible for any errors in or omissions to this information, or for any consequences that may result from the use of this information.