After flirting with a -20% decline from its record high price, which would have placed it in bear market territory, the stock market, as measured by the Standard & Poor’s 500 index, has bounced back – for now.
The drop in stock prices could resume, however. Inflation, Russia, and the pandemic are wild cards and any one of them could send stocks tumbling again. It’s a time of high financial anxiety.
2022 has been a bad year for investors. Since hitting a record closing-price high on January 3rd of 4,796.56, the S&P 500 index closed today at 4088.85 – 15% lower than its all-time high. Meanwhile, the 12-month Inflation rate hit a 40-year high last month, and a Europe ban on buying Russian could send oil and gas prices higher and exacerbate Covid-related supply chain problems further hindering consumer spending, which drives 80% of the U.S. economy.
Times like these heighten financial stress and bring out the worst traits in some investors. If you are checking your investments daily and obsessing on it more than usual, or if you are feeling anxious about your portfolio strategy, please feel free to make an inquiry using the “Contact” page of our website to email us.
If we can help you and you meet our minimum requirements to advise you, it would be a privilege. And even if you would not make a good match for us, we are happy to refer you to resources better suited for solving a personal financial problem and reducing your financial anxiety.
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