Happy Lunar New Year – the year of the Horse

This year carries the symbolism of the Fire Horse — a cycle that shows up once every 60 years, often associated with transition: from complacency to selectivity.

A fun market lens: the last two Fire Horse years weren’t exactly “easy-mode” for US equities : 

• 1906 (Fire Horse): Dow Jones -1.9%

  • Note: the S&P 500 didn’t exist then — it was launched in 1957

• 1966 (Fire Horse): Dow Jones -18.9% and S&P 500 -13.1% (price return)

No superstition here — two data points don’t make a model. But the metaphor fits: more dispersion, sharper rotations, and a market that rewards discipline.

 “Spirit of the dragon and horse” — vitality, energy, perseverance."

And how did this year’s Chinese New Year Gala showcase this? A mind-blowing Robot Kungfu show (and take a look at the comparison with 2025). Click here to watch.

Sources: Maggie Cheng, CFA CAIA, Valerie Noel, Charles-Henry Monchau, Evrim Kanbur, Cyrus Janssen on X