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Third Year of Presidential Terms Typically Bolsters Stock Returns

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Historically, returns for the third year of presidential terms have been lucrative for investors, with the S&P 500 increasing by an average of 20.98%, but the roaring market in past years isn't guaranteed, and keeping an eye on the actions of the Federal Reserve could be more crucial.

The second half of a president's term is generally much better for the stock market than the first half historically, said Robert Johnson, president and chief executive of the American College of Financial Services in Bryn Mawr, Pa