As the Dow ended down 1,175 points, the worst in more than six years, some people grew a little worried and stressed that their stocks were taking a hit. But Wall Street, as a whole, remained calm.
Over the last two days, stocks have recovered some of their recent losses but remain beneath the record highs they set last month. After a slightly lower open Wednesday, stocks recovered within the first few minutes of trading, only to slip and briefly turn lower by mid-afternoon. The Dow ended the day down 19 points at 24,893. Three area financial advisors said Wednesday this week’s market correction was expected, writes Donna Rovins in The Times Herald.
Those local advisors were in a agreement that the fluctuations were not a cause for alarm, and in fact were a positive sign.
“The way I look at it — good news caused this — not bad,” said Peter K. Hoover, CEO, Hoover Financial Advisors of Malvern. . “It’s not a sign of weakness, but rather a sign of strength.
“The fundamentals of our economy didn’t change overnight, there was nothing bad that precipitated the correction — just strength. It’s kind of odd, but strength caused it to go up last year. Now that strength caused it to take a step back.”
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