Stock Market Sell-Off: Here's Why History Says Investors Shouldn't Hit the Panic Button
The U.S. stock market has had a rough start to 2025, with all three major indexes (S&P 500, Nasdaq Composite, and Dow Jones) down through March 17.The tech-heavy Nasdaq Composite is officially in a correction (defined by a drop of 10% or more, but below 20%, from recent highs), the S&P 500 barely escaped its short correction after a 2% one-day gain on March 14, and the Dow Jones is a couple of bad days away from joining them.Needless to say, the stock market has seen better days. However, the opposite is also true; it has also seen much worse days. Although seeing your portfolio drop is never ideal, now isn't the time to hit the panic button. History tends to repeat itself, and that should encourage investors.Continue reading
The U.S. stock market has had a rough start to 2025, with all three major indexes (S&P 500, Nasdaq Composite, and Dow Jones) down through March 17.
The tech-heavy Nasdaq Composite is officially in a correction (defined by a drop of 10% or more, but below 20%, from recent highs), the S&P 500 barely escaped its short correction after a 2% one-day gain on March 14, and the Dow Jones is a couple of bad days away from joining them.
Needless to say, the stock market has seen better days. However, the opposite is also true; it has also seen much worse days. Although seeing your portfolio drop is never ideal, now isn't the time to hit the panic button. History tends to repeat itself, and that should encourage investors.
