Claim checker · Calendar and seasonality

Claim check: September is the worst month

“September is the worst month of the year for stocks.”

What the data says

Does not hold Not supported by the data: September returned -0.5% a month on average against +1.4% for the other months in S&P 500 (n = 17 months, 2010-01-04 to 2026-11-10; t = -1.7, likely noise; rank 1 of 12 by average return). The direction points the claimed way, but the result cannot be told apart from chance.

No effect we can tell from chance, or the opposite effect.

Who says it

Stock Trader's Almanac repeats it every August.

Origins are as commonly cited and were not independently verified.

How we tested it

Month-end to month-end returns for SPY. September is compared with the other eleven months (Welch t-stat), must be among the two lowest of the twelve calendar months by average return, and negative relative to the rest in both halves of the history.

MarketsS&P 500
Period2010-01-04 to 2026-11-10
Sample17 observations
CostsBefore costs

Results

MarketObservationsMeanRestDifferenceUp sharet-statRank of 12Reading
S&P 50017-0.5%+1.4%-1.88%53%-1.7 (likely noise)1Right way, likely noise
-0.8%0.2%1.3%2.3%3.4%JanFebMarAprMayJunJulAugSepOctNovDec

Average monthly return by calendar month (S&P 500)

Stability across the two halves of history

A saying that only works in one half of the history is not much of a rule. Each row shows the effect in the full history, the first half and the second half; green means the claimed effect was present.

MarketFull historyFirst halfSecond half
S&P 500-1.9%-0.5% (8)-3.1% (9)

Context and cross-checks

Shown for context; not part of the verdict.

Other markets (context, not part of the verdict)

MarketObservationsMeanRestDifferenceUp sharet-statRank of 12Reading
Gold17-1.5%+0.9%-2.46%29%-1.8 (likely noise)1Right way, likely noise
Silver17-3.0%+1.3%-4.27%41%-1.5 (likely noise)1Right way, likely noise
Commodities17-0.5%+0.5%-0.94%59%-0.7 (likely noise)3Right way, likely noise
Agriculture17-0.9%+0.3%-1.15%35%-1.0 (likely noise)2Right way, likely noise
EUR/USD17-0.4%0.0%-0.40%41%-0.5 (likely noise)4Right way, likely noise
Bitcoin12-1.1%+6.3%-7.40%50%-2.7 (likely noise)2Too little data
Ether9-5.5%+5.9%-11.36%44%-2.5 (likely noise)2Too little data
-1.9%-0.5%1.0%2.5%3.9%JanFebMarAprMayJunJulAugSepOctNovDec

Average monthly return by calendar month (Gold)

The honest caveat

With ~15 Septembers, the ranking among 12 months is highly noisy.

Descriptive statistics from historical data, before costs. Not a forecast and not investment advice.

Questions

September is the worst month of the year for stocks.

Not supported by the data: September returned -0.5% a month on average against +1.4% for the other months in S&P 500 (n = 17 months, 2010-01-04 to 2026-11-10; t = -1.7, likely noise; rank 1 of 12 by average return). The direction points the claimed way, but the result cannot be told apart from chance.

How was this claim tested?

Month-end to month-end returns for SPY. September is compared with the other eleven months (Welch t-stat), must be among the two lowest of the twelve calendar months by average return, and negative relative to the rest in both halves of the history.

Related strategies on Quant Arena

Markets used

S&P 500 · Gold · Silver · Commodities · Agriculture · EUR/USD · Bitcoin · Ether

Related claims

All claims

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