The Thought Refuse

A Virtual Repository for the Mind

Attention Main Street: Don’t Panic

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With the Dow Jones Industrial average falling 369 points today and losing 3.6% of it’s value, plenty on Main Street might feel the urge to panic after taking a look at their 401k’s and modest portfolio’s.  Maybe Main Street has already started to panic after watching the stock market lose 1,100 points and 10% of it’s value over the course of one week.

But I want to tell Main Street – Don’t Panic.

I don’t want you to panic because you should know that the market hasn’t hit bottom yet, and your investments haven’t hit their low point.  In 1929 and 1987, the two largest market crashes in American history, it took 55 and 54 days respectively for the market to reach bottom from the Black Day.  We’re only about half way through if history is trying to repeat itself here.

So, you have time to shift your investments over to low yield, low risk bonds or even gold.  Take comfort in knowing that there’s alot more you could potentially lose of that retirement nest egg.  It could always be worse, and just might get plenty worse.  Just remember – Don’t Panic.

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Written by huxbux

October 6, 2008 at 5:02 pm

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