Jeffrey Hirsch, editor of the Stock Trader's Almanac , said investors should remain cautious because September has been the worst month for returns since One reason for the traditional end of September slump, according to Hirsch, is that end of third-quarter portfolio restructuring causes a weak close for September.

Hirsch said a bad August performance generally portends a better September result for stocks, except when August is "really bad" like the one the market just experienced. And while the month of October not so graciously hosted the stock market crashes of and , Hirsch said the month has typically been a "bear killer.

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