We don’t normally comment on market movements, with the exception of our own indexes, but today was a doozy on the Dow, and all the other markets. Tomorrow, when we run our index performance metrics, should be fun.
For those who are nervous and for those expecting the end of the world as we know it, we way, “Relax.” There have been bigger drops (2008 – down 778) and longer ones – the Great Depression of 1932 – 1940, though that included some pretty hefty rallies in the midst of all the gloom. Here’s a brief summary of the ups and downs, since the DOW was created in 1884.
The U.S. would be fine if the economy was allowed to correct itself from time to time. Everybody and everything goes overboard at one time or another.
Farmers plant too much corn, or whatever, in response to high commodity prices and the prices naturally drop when the harvest comes in. That used to spell disaster in the Farm Belt, but commodity markets and sophisticated farmers with computers have learned how to smooth out those big bumps.
So, pass up those antidepressants and take some natural medicine: go to the county fair, or the state fair. Go fishing. Bake something delicious. Life is too short to worry over every little thing. Now is the time to look for bargains and pounce when you think the time is right.