Super Bowl: Stocks win
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January 15, 2001: 1:13 p.m. ET
Investors can root for both teams with the Super Bowl indicator
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NEW YORK (CNNfn) - When it comes to the Super Bowl, Wall Street can't lose. A win by the New York Giants, according to one of the more whimsical market forecasting tools, means a good year for stocks.
Ditto for a Baltimore Ravens victory.
Investors, after suffering a bruising year in the markets, could use this piece of good, albeit quirky, news.
Call it NFL market analysis. The Super Bowl Indicators holds that a Super Bowl win by an original member of the National Football League, pre-1970, means a good year for the markets. A win by an original member of the American Football League and stocks suffer.
This year, there's only one possible market outcome for Super Bowl XXXV on Jan. 28 in Tampa Bay, Fla. That's because the Ravens moved from Cleveland, an original NFL team – just like the Giants.
While the indicator has shown uncanny accuracy throughout history, the recent past has not been kind. Last year's victory by the St. Louis Rams, a good market omen, came as the Nasdaq Composite index ended with its worst performance in history. The Denver Broncos won the two prior years. That, according to the Super Bowl Indicator, spelled trouble for stocks. But the S&P 500 saw double-digit returns in 1998 and 1999.
Still, these indicators, built more on coincidence than science, can be reliable.
Consider the Redskins Indicator, which holds that the Washington, D.C. football team's last home game before the U.S. presidential election is pivotal. A Redskins win means a victory for the incumbent party; a loss lands the challenger the White House.
According to ABC Sports, the indicator had a 15-0 success rate going into this election. Make that 16-0. The Redskins lost to the Tennessee Titans in the crucial home game before the election.
And four weeks after Election Day, the challenger, George. W. Bush, was awarded the White House.
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