🚨 16 MIDTERM YEARS. 16 MARKET DRAWDOWNS. NOT A SINGLE EXCEPTION!
Something extremely dangerous is setting up in the U.S. stock market, and almost nobody is paying attention.
Every single U.S. midterm election year since 1962 has delivered a significant market drawdown.
Not most of them. EVERY ONE.
Here's the historical S&P 500 data:
→ 1962: -26.4%
→ 1966: -20.2%
→ 1970: -25.0%
→ 1974: -35.9%
→ 1978: -12.8%
→ 1982: -13.5%
→ 1986: -9.4%
→ 1990: -19.2%
→ 1994: -8.5%
→ 1998: -19.2%
→ 2002: -33.0%
→ 2006: -7.5%
→ 2010: -15.6%
→ 2014: -7.3%
→ 2018: -19.4%
→ 2022: -24.5%
→ 2026: -??%
SIX DECADES. SIXTEEN MIDTERM YEARS. SIXTEEN SIGNIFICANT DRAWDOWNS.
And here's what makes 2026 particularly dangerous.
THE FED HAS ALREADY STARTED RAISING RATES AGAIN.
INFLATION IS RUNNING HOT.
OIL IS ABOVE $100.
BOND YIELDS ARE PUTTING ENORMOUS PRESSURE ON STOCKS.
AND THE ENTIRE MARKET IS BECOMING INCREASINGLY DEPENDENT ON A HANDFUL OF MASSIVELY OVERVALUED AI COMPANIES.
READ THAT AGAIN!!
Most of those previous midterm years didn't face this exact combination of risks.
But 2026 is facing ALL OF THEM AT ONCE.
And the consequences could be devastating.
Higher interest rates make borrowing more expensive. Rising energy prices fuel inflation. And stretched AI valuations leave almost no room for disappointment.
Now combine all of that with a historical pattern that has repeatedly punished investors during midterm election years.
THIS IS A PERFECT STORM FOR U.S. STOCKS.
The warning signs are already everywhere.
And the most dangerous part?
Most investors won't recognize the next major collapse until it's already happening.
By then, the damage may already be done.
I've spent over 12 years studying these cycles and calling major market tops and bottoms.
My next major market call gets posted here first.
Follow and turn on notifications.
DON'T BECOME EXIT LIQUIDITY!
Something extremely dangerous is setting up in the U.S. stock market, and almost nobody is paying attention.
Every single U.S. midterm election year since 1962 has delivered a significant market drawdown.
Not most of them. EVERY ONE.
Here's the historical S&P 500 data:
→ 1962: -26.4%
→ 1966: -20.2%
→ 1970: -25.0%
→ 1974: -35.9%
→ 1978: -12.8%
→ 1982: -13.5%
→ 1986: -9.4%
→ 1990: -19.2%
→ 1994: -8.5%
→ 1998: -19.2%
→ 2002: -33.0%
→ 2006: -7.5%
→ 2010: -15.6%
→ 2014: -7.3%
→ 2018: -19.4%
→ 2022: -24.5%
→ 2026: -??%
SIX DECADES. SIXTEEN MIDTERM YEARS. SIXTEEN SIGNIFICANT DRAWDOWNS.
And here's what makes 2026 particularly dangerous.
THE FED HAS ALREADY STARTED RAISING RATES AGAIN.
INFLATION IS RUNNING HOT.
OIL IS ABOVE $100.
BOND YIELDS ARE PUTTING ENORMOUS PRESSURE ON STOCKS.
AND THE ENTIRE MARKET IS BECOMING INCREASINGLY DEPENDENT ON A HANDFUL OF MASSIVELY OVERVALUED AI COMPANIES.
READ THAT AGAIN!!
Most of those previous midterm years didn't face this exact combination of risks.
But 2026 is facing ALL OF THEM AT ONCE.
And the consequences could be devastating.
Higher interest rates make borrowing more expensive. Rising energy prices fuel inflation. And stretched AI valuations leave almost no room for disappointment.
Now combine all of that with a historical pattern that has repeatedly punished investors during midterm election years.
THIS IS A PERFECT STORM FOR U.S. STOCKS.
The warning signs are already everywhere.
And the most dangerous part?
Most investors won't recognize the next major collapse until it's already happening.
By then, the damage may already be done.
I've spent over 12 years studying these cycles and calling major market tops and bottoms.
My next major market call gets posted here first.
Follow and turn on notifications.
DON'T BECOME EXIT LIQUIDITY!