The Stock Market Is Once Again Acting Up

Get Ready to Ride This Year's Roller Coaster Stock Market

The stock market made it through January of this year, revealing its true colors as a messy girl who loves drama. Though this chaotic energy is unquestionably true about the stock market in general, the market's volatility is now at the forefront of everyone's mind.

When the markets are even-tempered and show only modest fluctuations in the major indexes, such as the S&P 500, it's wonderful news for your long-term investments, overall portfolio, and your anxiety levels. However, when the market fluctuates rapidly, dipping and then rising again - often in the same day - that roller coaster is known as volatility. Yes, it's unpleasant to see the value of your portfolio drop over the course of a day, but the consolation is that this is what should be expected.

Unless you're a day trader or have a significant portion of your retirement in volatile equities, market volatility isn't something to be overly concerned about—even for those who are near or already retired. Just stick to your plan and objectives, and don't feel tempted to adjust your portfolio in order to time the market.

In conclusion, according to Chris Harvey, the head of equity strategy at Wells Fargo, when the market is as volatile as it is right now, we can look forward to a sometime in the near future,  the S&P falling another 10% or so before settling back down again. Prepare yourself !

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