U.S. Money Supply Recently Did Something Last Seen During the Great Depression -- and It's Historically a Precursor to a Big Move in Stocks

For more than two years, the bulls have been running wild on Wall Street. In 2024, the ageless Dow Jones Industrial Average (DJINDICES: ^DJI), broad-based S&P 500 (SNPINDEX: ^GSPC), and innovation-fueled Nasdaq Composite (NASDAQINDEX: ^IXIC) respectively rallied by 13%, 23%, and 29%, with everything from the artificial intelligence (AI) revolution to Donald Trump's November victory stoking optimism.But the stock market wouldn't be a market without equities moving in both directions.Both professional and everyday investors are regularly on the lookout for clues that may point to shifts in the Dow Jones, S&P 500, and Nasdaq Composite. Even though no Holy Grail data point or predictive metric exists that can, with 100% accuracy, forecast short-term directional moves in Wall Street's major indexes, there are select indicators that have strongly correlated with moves higher or lower in the Dow, S&P 500, and Nasdaq throughout history.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool