August 19, 2026 l Business Mirror
“The world is full of ghosts, and some of them are still people.”—Peter Straub, “The Throat”
August 13 to September 19 this year is known as the ghost month. It is the seventh month of the lunar year.
Chinese Taoist and Buddhist cultures view it as not a promising period because it is believed to be the time when the gates of the afterlife open for the spirits to roam the earth. There are superstitious traditions or practices observed in some countries. But some view it as a period of piety, charity, and gratitude rather than a time for fear.
Still, many believe it is not a good time to make life changing decisions, that it is inauspicious timing to make huge financial commitments such as starting new ventures, clinching of new contracts because the roaming spirits may bring bad luck.
Thus, many believe it is a matter of faith and folklore rather than a fact.
Yet at times, facts tend to lead one to consider what may be folklore. Allow me to cite a few updates.
According to a domestic bank’s recent blog, historically, August has been one of the worst performing months for the PCOMP (Philippines Stock Exchange PSE Index) with an average return of -2.48 percent with 20 out of 30 years (66 percent hit rate) being negative since 1992.
On Wall Street, August is the month associated with the worst performances for the Dow Jones Industrial Average and S&P 500 index, the blog reads.
At the start of the ghost month, an international publishing company reported that Europe’s fifth heat wave of the summer is set to peak on August 13, the latest in a string of extreme weather events that have strained health systems and energy networks across the region. A series of high-pressure heat domes has put the United Kingdom on track for its hottest ever summer.
On the same day, the Philippine peso closed weaker at P61.343 against the US dollar, slipping back over the threshold of P61.00. Analysts say it is due to regional profit taking, ongoing Middle East uncertainty, and macroeconomic pressures.
One may wonder if indeed during the ghost month, one should avoid making major life changes.
In fact, it is observed during the ghost month, investors rest and avoid trading, and hence, usually, at this time, markets are dull and are in a lull and that trading volumes are lower than in other periods.
But for those who do not believe or follow Chinese superstitions, life goes on because they look at market prices as driven by basic economic fundamentals, corporate earnings, and real world news, not folklore, not superstitions. Hence, look at what’s happening in Wall Street: on August 13, 2026, (again, the start of ghost month), the S&P 500 had in fact set a new record high of 7,798! So, is this the ghost month or not?
Wise investors see financial opportunity in a reduced market activity. There is window for long term investors to take advantage of the “dips” and bargain hunting. As they say, “buy the dip, and sell the rip” for later when the market becomes vibrant again.
So ghost month: “Careful, careful?” Or “go, go, go?,” for after all, while “the world is full of ghosts, some of them are still people,” per American novelist Peter Straub.
***The views expressed herein are her own and do not necessarily reflect the opinion of her office as well as FINEX. For comments, email clmanabat@gmail.com. Photo is from Pinterest.