We Just Observed the S&P 500 Do Something for Only the 8th Time Since 1950 -- and It Has an Immaculate Track Record of Forecasting What's Next for Stocks
An infrequent event for Wall Street's benchmark index can be a generational opportunity for investors.
There are a lot of ways to grow your nominal wealth, including buying real estate, investing in Treasury bonds, or purchasing commodities, such as gold, silver, and oil. However, no other asset class can hold a candle to the average annual return generated by stocks over the last century.
But even though stocks are a bona fide long-term wealth creator, equities can vacillate wildly in both directions, without warning, over shorter periods.
During April, investors were taken on quite the roller-coaster ride. In addition to the Dow Jones Industrial Average (DJINDICES: ^DJI) and S&P 500 (SNPINDEX: ^GSPC) dipping into correction territory, and the Nasdaq Composite (NASDAQINDEX: ^IXIC) falling into a bear market, all three indexes experienced record-breaking levels of volatility.
