Are we in a simple market correction? Or is it something more ominous? Many economists are concerned that we're on the cusp of a bear market, and that these erratic market drops are only just the beginning.
Is This the Beginning of a Bear Market?- Video Transcription
Patrick Brunson: 00:00
So yesterday the stock market dropped by more than 600 points and we've now entered a period where we have erased all of 2018's gains in the Dow Jones as well as the s and p 500. Now, many economists are staying that that is actually the beginning stages of a bear market. Here's the key thing though, the the biggest days in a bear market are updates. And what I mean by that is, typically in a bear market, you'll see the market drop four or five, six days in a row, maybe a hundred to 200 points a day. Nothing big. But then you have one rebound day, where it jumps three, four or 500 points and it gives people the misconception that the correction is over and that the market's rebounding again only to be followed by three, four, five more days down again. It's key to know that bear markets are very, very drawn out.
Patrick Brunson: 00:53
They can last anywhere from 60 days to an entire year, but the key thing is to not ride it out. I know that we have a lot of advisors and brokers telling us that we should just stick it out. It's going to come back up. But at the end of the day do you really want to take a chance and risk losing everything that you've put into it or any of the gains that you've made back over the last eight or nine years? So there's a lot of reasons not to ride out this next bear market and if you'd like to get more information, you can get us money reserves report ‘why this bear market will be different and the seven reasons not to ride it out'. This is great information in regards to the market and a lot of the things that are in this pamphlet are already happening. So to get your copy, click on the link below or call the number on your screen and we can send you a physical copy or we can send you the digital copy directly to your email if you want instant access. This is great information for folks who still have money in the markets and it's real good in terms of telling you what you can acquire as a safe haven asset. As always, thank you for tuning in to u.s. Money Reserves, market insights.
