A wild week for the stock market, after it suffered its biggest weekly loss since March.
Swings in the stock market this week are making investors uneasy. Tuesday the Dow Jones plunged 800 points. It’s biggest weekly loss since March.
“If you watch it every day you’re going to go cuckoo,” said Holyoke resident John Petta. “So you need to just kick back and let it ride.”
The trend continued throughout the week with S&P 500, Dow and Nasdaq all taking hits.
“You know it already quadrupled what it was a couple of years ago,” Petta said. “So it coming down, the 401K’s are probably better than they were five years ago.”
And what goes up, must come down.
According to AIC Economics Professor, John Rogers, the stock market has seen a steady rise over the last nine years.
“If you continue to put money in, let’s face it, in a way if the stock prices go down you buy more stock with your money and eventually it will come back up,” Rogers said. “Its called dollar cost averaging.”
If you plan to retire in the next 20 years, sticking with the stock market and diversifying your investment, is your best bet.
Rogers told 22News, the global stock market has taken a hit recently, which could pay off for the U.S in the end.
Whether young or old, all investors need to assess their personal risk before investing.
Despite recent volatility in the stock market, November’s job report was looking up. Employers added about 155,000 jobs.