Broker Check

Market Recap (June 8 2020)

June 08, 2020
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Optimism returned to the markets last week as all the major indices posted very solid gains. Friday was the strongest day as a surprise announcement on unemployment numbers led to a surge across the board. Wall Street took heart in the fact that job creation is a meaningful step toward returning to a healthy economy.
 
Our last newsletter featured a graph titled the ‘Emotional Cycle of the Market’. The purpose of the graph is to highlight the disconnect between how we “feel” about investing versus the opportunity at that particular time. 
The message was meant as an encouragement: “If you’re feeling fearful, panicked or despondent, that’s likely the time of greatest opportunity for investing.” 
 
What a difference a week makes! Amid the market’s strong growth last week, we fielded lots of calls and emails from clients wanting to move to more aggressive holdings. Perhaps our emotions have swung too far.
 
We certainly believe in the power of investing and are very optimistic for the long-term market. But just as in a market decline, we encourage a measured approach to investing. Stay true to your risk tolerance and time horizon and avoid letting your emotions guide your decision making. 
 
As always, we are here to answer your question and address your concerns. Please don’t hesitate to reach out.