Last week trade wars were and still are in the news.
Dow Falls 800 as Yuan Reels, Trump Jabs at China
Last weekend horrific news of two more mass shootings in the US.
Mass Shootings in ElPaso, Dayton Leave 31 Dead
Data hacks, overdoses, deadly weather, shark sightings…..
The drumbeat of bad news never ceases.
As I write this mid-day on 8/5/19 the CRSP US Total Stock Market Index (effectively the entire publicly traded US stock market) has fallen 5 days in a row, and today looks to be another down day.
However, year-to-date the index is still up.
I love this terrific video from Loring Ward* “The Best Time to Invest 1927-2017”. It gives some perspective about the stock market and bad news. Follow along as $1 invested in the Total US Stock Market in 1927 grows to a LOT of dollars by the end of 2017. (Take a guess!)
The video takes us through the decades showing the value of that dollar juxtaposed next to TIME magazine covers showing a lot of bad news. Short-term news events generally had little impact on long-term market growth.
And be sure to watch to the very end (just over 3 minutes) for an inspirational quote from Warren Buffett.
It isn’t quite up to date – but if it was the number would be even higher.
Save. Invest. Repeat.
Stay the course despite the news.
*I have no affiliation with Loring Ward