The Blonde Diaries

So, how are you handling it? From what I heard on the news, the market hasn’t even hit bottom yet. Yikes! Honestly, I am doing ok for the moment with everything going on in the news. I have been selectively reading headlines and news articles and I refuse to log into my 401k account at work and see dollars and percents. I have always believed that the stock market is cyclical and it will rebound and start going up again. So with that attitude, I have been able to not freak out over anything and have kept my election percentages the same. If nothing else, contributing to my 401k at work allows me to have a tax break each year.

But if you have been logging in and reading headlines and just don’t know what to do maybe this will help. The market goes up and down. Just eight years ago we had the big dot com bubble burst, Enron fell, and 9/11 hit. The market fell but it rebounded to record highs in the past few years. The same thing happened in the 1980s when the market fell but it rebounded in the 1990s. So just try to think about it like this:

For the past few years you have been buying investment units at full price. Right now the market is offering you a huge discount to purchase more units. It’s like a sale! So instead of panicking and pulling your money out, you should sit back and go over your budget and see if you can make any additional purchases now or in the next few months as they will increase in value later on.

It fits the buy low, sell high adage except everyone seems to be forgetting about it now. So good luck everyone. I hope we start seeing a more positive outlook soon and an upturn in the market as that will help everyone out.

Tags: economy, financial markets, investments