After a 59% rally from February 2016, it was about time the markets as a whole blew off a bit of steam. The pot was already getting frothy with pressure, so it was only a matter of when, not if. We’ve all been spoiled lately because of an enormous lack of volatility in the stock market; we’ve seen weeks upon weeks of higher highs and new records being set so consistently it’s been almost “expected.”
But, alas. The market giveth the market taketh away, although only around 5%. The reason this market drop is causing such a raucous in the news is because we’ve been blissfully ignorant of the typical waves of ups and downs the stock market usually experiences. Especially over the last two years. Not to worry though, these moves are normal, and it’s better to have a down day or two, than to enter into a completely bear market for months or years.
Nothing to fear yet, just the pot blowing off some steam. Plus, everything is selling at a 2-7% discount! Buy up!