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Will 2025 see a Santa Rally?

ended 04. December 2025

Keen to get views from investment experts on whether 2025 will see a Santa Rally? Also, is the whole idea of the Santa Rally based in fact or is there an element of fiction to it? Should sensible investors simply forget the whole thing and just stick with their long-term plan? Or perhaps, if you're a believer, you have suggestions as to how people can benefit from the Santa Rally? Any thoughts, and any analysis you have on Santa rally trends, send them across ASAP as we will be publishing this story mid-morning.

2 responses from the Newspage community

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Editor
Tony Redondo
Founder at Cosmos Currency Exchange
Sir Humphrey might believe in ‘lies, damned lies and statistics’ but the Santa Rally has some statistical validity over long periods. Analysts will argue the phenomenon is better understood as a weak seasonal tendency rather than a dependable pattern but since 1950, the S&P 500 has averaged a gain of 1.3% during the Santa Rally period, with positive performance nearly 80% of the time and since 1993, the rally has produced gains 18 out of 27 times, or about 67% of the time with the effect experienced even in countries where Christmas is not the leading holiday, like Japan, Singapore, and India.
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Editor
Rob Mansfield
Independent Financial Advisor at Rootes Wealth Management
Most of this year has felt like a santa rally! It could well happen but I wouldn't bet the house on it. If you have investments, you should be thinking long-term in years and decades rather than months. That time frame gives you the potential to ride out whatever markets throw at you. In the short-term markets are fickle and so save your energy and enjoy Christmas!