Aug. 31 (UPI) — The Dow Jones Industrial Average and the S&P 500 recorded their best August gains in more than 30 years, despite both falling to end the month on Monday.
The Dow ended Monday down 223.82 points or 0.78% but ended the month up 7.6% overall while the S&P 500 fell 0.22% on the day but gained 7.2% on the month as both indexes recorded their best August since 1984.
The S&P 500 was also on pace to rise for five consecutive months, which has only happened 26 times since 1950, according to data from Suntrust/Trust Advisory.
“However it is notable that after such strong monthly winning streaks, near-term stock returns tend to moderate as one would expect,” Suntrust/Trust Advisory’s chief marketing strategist, Keith Lerner, said.
The Nasdaq Composite, however, rose 0.68% on Monday boosted by Apple’s and Tesla’s market cap splits taking effect.
Tesla stock surged 12.57% after a 5-for-1 split and Apple stock increased 3.39% after a 4-for-1 split.
“The reactions of these stocks that split I think speaks to a broader appetite for tech stocks, “Wedbush Securities equity analyst Dan Ives told The Hill. “This is a trend we expect from more tech companies as the strong have gotten stronger during this COVID pandemic.”
Monday also marked the debut of three stocks on the Dow as Salesforce stock rose 0.78%, Amgen grew 0.079% and Honeywell stock fell 1.72%.
