Friday, February 28, 2020

STOCK MARKET CORRECTION

by Bob Walsh

As of market close yesterday the stock market had undergone an official correction, that is about 10% of total market value. My own deferred comp account is down about 1%. (Good planning and diversification helps.)

In seven of the last eight corrections the market has fully recovered the losses in less than six weeks after the correction. I don't expect it to happen that fast this time around because the Covid-19 situation is very unlikely to work itself out in less than a few months, and the supply chain issues may continue for that long.

1 comment:

bob walsh said...

Typo. That should read 16 weeks, not six weeks. My bad. Too much Rainier Ale.