8 Charts That Tell the Stock Market Story of 2021

By Benzinga
December 31, 2021 Updated: December 31, 2021

Investors experienced another great year for stocks in 2021.

LPL Financial Chief Market Strategist Ryan Detrick recently recapped LPL’s top 27 charts and tables of 2021, reflecting the trends he was watching in a strong year for stocks.

Here are eight of the best LPL charts of the year.

Stocks got off to a strong start to 2021. In fact, the S&P 500’s performance in the first 100 days of President Joe Biden’s administration was the best of any president since Lyndon Johnson in 1963.

12.31.2021 Chart of Year - Chart 1 jpeg

After a big first quarter, the S&P 500 was up more than 10 percent year-to-date on day 100 of the year, a historically strong bullish indicator for the remainder of the year.

12.31.2021 Chart of Year - Chart 2 jpeg

Midway through 2021, the bull market broke another record. It became the fastest S&P 500 bull market since World War II to double off of previous lows, breaking the previous record by a wide margin.

12.31.2021 Chart of Year - Chart 3 jpeg

The S&P 500 also has a seven-month winning streak in 2021, a rare occurrence in the market and a bullish indicator for the next 12 months.

12.31.2021 Chart of Year - Chart 4 jpeg

A number of S&P 500 and Dow Jones Industrial Average milestones came and went in 2021, including a record six new Dow 1,000-point milestones in one year.

12.31.2021 Chart of Year - Chart 5 jpeg

In fact, 2021 joined 2014 as the only year since 1928 in which the S&P 500 made new record highs in all 12 months of the year.

12.31.2021 Chart of Year - Chart 6 jpeg

Heading into 2022, some investors are concerned that Federal Reserve interest rate hikes could stall the bull market. However, history suggests stocks actually perform relatively well in the first 12 months following the beginning of a Fed rate hike cycle.

12.31.2021 Chart of Year - Chart 7 jpeg

Finally, just because the market had a big year in 2021 doesn’t mean the upside is limited in 2022. In fact, the S&P 500 has historically traded higher in years following at least 20 percent gains.

12.31.2021 Chart of Year - Chart 8 jpeg

By Wayne Duggan

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