The causes and characteristics of rallies vary, but most financial theorists agree that economic cycles and investor sentiment both play a role in the creation and momentum of rallies. In general, information about a strong or strengthening economy, indicated by high employment, high disposable income, low inflation and high business profits usually ushers in a rally. The existence of several new trading highs for well-known companies also indicates a rally is occurring. It is important to note that government involvement affects rallies: Changing the federal funds rate or tax rates indirectly encourages economic expansion or contraction.
1968 brought the first of a series of British-organised intercontinental rallies, the Daily Express London-Sydney Marathon, which attracted over 100 crews including a number of works teams and top drivers; it was won by the Hillman Hunter of Andrew Cowan/Brian Coyle/Colin Malkin. Not to be outdone, the rival Daily Mirror sponsored in 1970 the London-Mexico World Cup Rally, linking the stadia of two successive football World Cups, on a route that crossed Europe to Bulgaria and back before shipping out from Lisbon to Rio de Janeiro, after looping around South America, and a run through some of the most frightening sections of Peru's road race, the Caminos del Inca, they wrap it up being shipped to Panama and a final run up Central America. The Ford Escort of Hannu Mikkola and Gunnar Palm won. These were followed in 1974 by the London-Sahara-Munich World Cup Rally, and in 1977 by the Singapore Airlines London-Sydney Rally.
Initially, most of the major postwar rallies were fairly gentlemanly, but the organisers of the French Alpine and the Liège (which moved its turning point from Rome into Yugoslavia in 1956) straight away set difficult time schedules: the Automobile Club de Marseille et Provence laid on a long tough route over a succession of rugged passes, stated that cars would have to be driven flat out from start to finish, and gave a coveted Coupe des Alpes ("Alpine Cup") to anyone achieving an unpenalised run; while Belgium's Royal Motor Union made clear no car was expected to finish the Liège unpenalised – when one did (1951 winner Johnny Claes in a Jaguar XK120) they tightened the timing to make sure it never happened again. These two events became the ones for "the men" to do. The Monte, because of its glamour, got the media coverage and the biggest entries (and in snowy years was also a genuine challenge); while the Acropolis took advantage of Greece's appalling roads to become a truly tough event. In 1956 came Corsica's Tour de Corse, 24 hours of virtually non-stop flat out driving on some of the narrowest and twistiest mountain roads on the planet – the first major rally to be won by a woman, Belgium's Gilberte Thirion, in a Renault Dauphine.[unreliable source?]
As public interest grew, car companies started to introduce special models or variants for rallying, such as the British Motor Corporation's highly successful Mini Cooper, introduced in 1962, and its successor the Mini Cooper S (1963), developed by the Cooper Car Company. Shortly after, Ford of Britain first hired Lotus to create a high-performance version of their Cortina family car, then in 1968 launched the Escort Twin Cam, one of the most successful rally cars of its era. Similarly, Abarth developed high performance versions of Fiats 124 roadster and 131 saloon.
In Britain, the legal maximum speed of 12 mph (19 km/h) precluded road racing, but in April and May 1900, the Automobile Club of Great Britain (the forerunner of the Royal Automobile Club) organised the Thousand Mile Trial, a 15-day event linking Britain's major cities, in order to promote this novel form of transport. Seventy vehicles took part, the majority of them trade entries. They had to complete thirteen stages of route varying in length from 43 to 123 miles (69 to 198 km) at average speeds of up to the legal limit of 12 mph (19 km/h), and tackle six hillclimb or speed tests. On rest days and at lunch halts, the cars were shown to the public in exhibition halls.[unreliable source?] This was followed in 1901 by a five-day trial based in Glasgow The Scottish Automobile Club organised an annual Glasgow–London non-stop trial from 1902 to 1904, then the Scottish Reliability Trial from 1905. The Motor Cycling Club allowed cars to enter its trials and runs from 1904 (London–Edinburgh, London–Land's End, London–Exeter—all still in being as mud-plugging classic trials). In 1908 the Royal Automobile Club held its 2,000 mi (3,200 km) International Touring Car Trial, and 1914 the important Light Car Trial for manufacturers of cars up to 1400 cc, to test comparative performances and improve the breed. In 1924, the exercise was repeated as the Small Car Trials.
The Texas Region of the Sports Car Club of America invites you to a fun drive in the country in Collin County, Texas. We give you a map and a list of questions to be answered by visiting specific locations on the map. With this year’s theme, locations to be visited are churches, farms and ranches. You determine your route, go to each location, and answer a question that verifies you have been there. The team who visits all the required landmarks in the shortest distance will win, and the winners will receive awards. Speed is not a factor.
In many rallies, including those of the World Rally Championship (WRC), drivers are allowed to run on the stages of the course before competition and create their own pacenotes. This process is called reconnaissance or recce. During reconnaissance, the co-driver writes down shorthand notes (the pacenotes) on how to best drive the stage. Usually the drivers call out the turns and road conditions for the co-drivers to write down. These pacenotes are read aloud through an internal intercom system during the actual race, allowing the driver to anticipate the upcoming terrain and thus take the course as fast as possible.
Analysts spend thousands of hours trying to mathematically determine what will trigger the next rally and how long it will last. Technical analysis is especially prevalent in this effort, although less sophisticated indicators such as hemline fashions or the NFL division of the latest Super Bowl winner also provide fodder for such predictions. This in turn can sometimes lead to speculation that a rally is just around the corner, which can then become a self-fulfilling prophecy.
Rising investor confidence also indicates a rally, and it is perhaps more powerful than any economic indicator because when investors believe something is going to happen (a rally, for example), they tend to take action (purchasing shares in order to profit from expected price increases) that actually turn expectations into reality. Although it is an objective concept, investor sentiment shows through in mathematical measurements such as the put/call ratio, the advance/decline line, IPO activity, and the amount of outstanding margin debt.