BUSINESS

Wall Street's Inauguration Rally: Long-Term Outlook Less Sunny

02/19/2009 05:12 am ET | Updated May 25, 2011

NEW YORK (CNNMoney.com) -- Optimism about Barack Obama's first 100 days as president is running high, but Wall Street's post-inaugural celebration may well be short-lived.

"I think there's going to be something of an Obama honeymoon for a few weeks," said Terry L. Morris, senior equity manager at National Penn Investor Trust. "But I think there's still a lot of pessimism out there about the economy."

Since 1932, stocks, as measured by the S&P 500, have gained an average of 1.6% in the first 100 days of a new president's term regardless of the party. The S&P 500 has gained 0.9% on average under a Republican president and 2.2% under a Democrat like Obama, according to research by Standard & Poor's chief investment strategist Sam Stovall.

Read more on Jan. 19, 2009

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