The S&P 500 Equalweight index, which gives each stock in the index an equal 0.2% weighting, is currently trading at the same level it was at back in April 2021. Investors used to getting the standard 8-10% per year in the US stock market have gotten far less than that over the last two and a half years.Below is a five-year price chart of the S&P 500 Equalweight index showing the sideways range it has been in for the last few years.
The spread between the S&P 500 Equalweight’s highest and lowest closing price over the last three years currently stands at 31%. As shown below, 31% is an extremely low 3-year high/low range; well below the average of 75.5% seen across all rolling 3-year periods going back to 1992. The tight spread now, though, comes after a period in which the high/low range had gotten well above its historical average. And the pendulum continues to swing…
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Sideways Range
