If you didn’t check your portfolio yesterday, you may not want log on now … you might give yourself a heart attack. That’s because the Dow Jones Industrial Average dropped a massive 300 points. That fall erased all the gains for the year, and the index is now sitting in the red. It was bound to happen — considering how much stock shave gone up buy in recent years. What should you do? According to Jeff Macke at Yahoo Finance, nothing — it’s just the way markets are supposed to work.
AlphaBaskets Blog (Roger Nusbaum): Seriously. Just relax. The Dow’s drop was normal.
The New York Times (Jeff Sommer): Analysts are still upbeat on stocks rising throughout the year. Dow 23,000 is back on!
Kiplinger’s (Anne Kates Smith): But what if this something more sinister? How to survive a big big drop in stocks.
Afraid To Trade (Corey Rosenbloom): The real problem is that stocks and bonds are moving together.
FT Alphavile (Dan McCrum): The real answer — just buy a darn index fund. You’ll sleep better and make more money.
A Wealth of Common Sense (Ben Carlson): Or buy some emerging-market stocks. They have plenty of growth ahead.
The Wall Street Journal’s China Real Time (Staff): Except for China … which got a stern warning from the IMF.
Exaimer.com (Shawn S. Lealos): Sharknado 2 is a tweeting tour de force. Here’s a collection of the best tweets.