Since January this year, the STI has gone up for 7 straight months.
The one and only time since 1995 that the STI was up consecutively for at least 7 months was in 2006. In that bull run, it went up for 8 consecutive months from June 2006 to January 2007 before it took a breather in February 2007.
If the STI chalks up another gain this month, it will equal the feat achieved in 2006/2007. Will the STI be able to repeat the performance?
The figure below shows the charts that depict these two bull runs.
The chart at the top shows the bull run from June 2006 to January 2007 and the chart at the bottom from January 2017 to July 2017.
The table below shows the gains obtained by the STI for these 2 7-month periods.
|Jun 2006 - Dec 2007|
|Jan 2017 - Jul 2017|
From June 2006 to December 2006, the STI chalked up a gain of 601.96 points, whereas from January 2017 to July 2017, it gained less with 448.76 points.
In terms of percentage, the former case was also higher at 25.3% and the latter, 15.6%.
This shows that the bull run this year is smaller in magnitude compared to that of 2006/2007.