|August 6, 2016|
On August 3, 2011 I posted the following status on Facebook:
More of Obama’s change you can believe in… “The Dow Jones Industrial average was down 101 points in afternoon trading, putting in on track for its ninth straight day of losses, the longest losing streak since February 1978."
The market had an afternoon recovery, and the Dow Jones industrial average (INDU) rose 30 points, or 0.3%, to close at 11,896. The S&P 500 (SPX) gained 6 points, or 0.5%, to 1,260; and the Nasdaq Composite (COMP) added 24 points, or 0.9%, to 2,693.
Had you invested in the market that day, you should be all smiles today as the market had recovered pretty well five years later. Here’s a chart to show how much better things were on August 3, 2011, vs August 3, 2016:
The key lesson here is that if you're going to invest in the market, focus on the long term and not the short term. Don’t pay much attention to the short-term news.
Stay in the game...your sure to win in the long run.
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