Stock Market On Track To Rebound And Recover

Over the last two days the Dow rose 900 points and dropped 400 points.

Predicting what’s next, Local financial advisor Jordan Witt said despite the market’s flux and flow, he’s optimistic about the economy’s future.

“We’ve already seen the market rebound quite nicely, just literally in the past 30 to 45 days,” Witt said. “The market as it stands today are not quite down as much as some would think on the year. We still have to take a long term approach when we’re investing in the stock market.”

It could take up to three years for the economy to completely recover from this current recession. Witt said the more people who go out and spend money, the more stimulated the stock market becomes.

A lot of volatility has affected the stock market over the past few weeks. Witt said this will continue through the year due to COVID and the upcoming presidential election.

“I anticipate that we certainly will see some more volatility between now and the end of the year,” Witt said. “I also expect that we’ll see some good days as well. Typically some of the worst days are followed by the best days.”

Because the future is uncertain, Witt said plan ahead three to ten years for investing your stocks.

Witt said one of the biggest pieces of advice he gives clients is to not sell stocks when the market goes down. He said right now is a great time to buy stocks from companies.

“It’s a great buying opportunity right now, but you still need to make sure you’re buying for the right reasons,” Witt said. “You still need to make sure you’re buying good solid low cost funds, or good solid stocks, and they have a fit in your portfolio. Whether it’s for dividends or growth, always make sure you have enough cash on hand. It’s always a great idea to have plenty of antiquity and cash on hand. Too much cash is not very good.”