Experts say not to panic about volatile stock market

Experts say not to panic about volatile stock market

EVANSVILLE, IN (WFIE) - Coming off of a nearly five percent drop Monday, on Tuesday, the Dow closed two percent higher.

Experts say the ebb and flow of the market over the past couple of days is natural. It is not a reason to be concerned, but there are some things you should know about your investments.

You asked, and we answered.

"If you've got money in the stock market in retirement, do you make changes now? Or is it too late?" asks Wally Paynter of Evansville.

It could be the golden question on your mind too when you see stock market numbers in the red.

"If you are in the market just stay there, and if the time is on your side," says University of Evansville Finance Professor Wally Khan. "If you have some time, there's no need to worry or be concerned. That would not be a smart move particularly if you have time on your side."

Khan has been studying the market for years, so he has seen the downs and more recently ups.

"This was over valued market to begin with, and everybody was expecting some kind of correction," says Khan. "So when market has gone very, very high, so when it goes down, that shouldn't be that much concern."

Khan says good corporate earnings and global growth give the market a strong foundation. Blocking out the noise can be easier said than done when it is your retirement savings on the line.

"You want to have the option because you've got enough money in retirement that you don't want it to impact the date that you can retire," says Paynter.

Some even see the swing as an opportunity to buy in while the prices are low.

"When you've been in the market as long as I have been, you know this is something that's really natural," says Steve Barber of Evansville. "Most people get afraid and they do things. They sell when they shouldn't be selling. I actually bought some stock yesterday because I think it's a good time to buy stock."

Other global markets followed suit and saw declines at Monday's closing bell as well. Even while talking with Khan in his office, we watched the numbers rise.

He says he is optimistic the market will rise again and 2018 will be a good year.

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