CITY MALL: U.S. Stocks Tumble, Then Rise Again, But Muskego Advisor Stays Calm

Financial analysts called it a correction, a spiral, a nosedive, and a bloodbath when stocks tanked in a sell-off Thursday, according to a Wall Street Journal August 5 report online.

The bears took over in Europe and the US, with markets in Tokyo, Australia, South Korea and Hong Kong all dropping by 3% or more in Friday’s midday trading, the report said.  Oil and gold also dropped, while US treasury bonds were rallying as a traditionally safe place to park funds in troubled times, according to the report.

But as Friday progressed, stocks regained lost ground according to Bloomberg online, which pointed to an effort by the European Central Bank to address the overseas version of a debt crises thought to be fueling panic in US and other markets.

Meanwhile, local financial advisor Katie Orvis of Edward Jones in Muskego is unflustered, saying she’s been proactive in preparing her clients ahead of time for market changes and is proactively calling others to give them her point of view. 

Orvis shared a favorite quote by financial wizard Warren Buffet that says “the recipe for success as an investor is to buy when others are fearful, and to sell when others are greedy.”

Worries about slow US economic growth and increasing European debt have made investors fearful, according to Kate Warne, investment strategist for Edward Jones. Don’t lose sight of your investment goals, and “consider adding quality stocks, especially those that have a track record of increasing their dividends,” Warne said in a commentary to customers.