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Another fun efficient capital markets anomaly

David Gaffen:

Regardless of how January turned out, the various indicators that involve some sort of luck and alchemy continue to line up well for U.S. equity markets. First, the Super Bowl indicator turned out better than anyone (save die-hard Giants fans [see Super Bowl anomaly]) expected. Then, the Chinese New Year came, ushering in the Year of the Rat, which has generally been a solid one for investors.

And MarketBeat’s exclusive Westminster Kennel Club Dog Show indicator also foresees reasonably good things for stocks. Last night, at the 132nd annual dog show, Uno, a 15-inch beagle, took home the blue ribbon, the first time that breed has won the competition.

The beagle belongs to the hound group, which has only mustered three previous winners since the show’s inception. In two of three years, the Dow performed quite well, with one negative performance.

The average return in those years is 7.4%, as the average gained 20.3% in 1983, the last time a hound was victorious (an Afghan hound). In 1964, when the whippet claimed the top prize, the Dow gained 14.6%. Only in 1957, when another Afghan took home the ribbon, was the Dow weak, losing 12.8%.

(HT: Dealbreaker.com) With Marisa Miller having appeared on the cover of Sports Illustrated’s swimsuit issue, it’s been a good week for ECMH anomalies.