Have you ever heard the expression, "If you love sausages, never watch how they're made?"
The same is true of stock prices. Warren Buffett once said, "I would tell [investors], don’t watch the market closely."
In recent weeks, oil prices have rallied higher, and the Fed indicated higher interest rates may be here for a while. And there’s a headline risk that lawmakers may struggle to get a budget passed, which may lead to a short-term government shutdown.
If you listen to market pundits, it sounds like it’s going from bad to worse.
But August is over, September is coming to a close, and next up is October–a month that has had its share of volatile moments over the years. It’s a seasonally weak period for stock prices, and that’s important to remember as stock prices churn a bit.
Summer ended on September 22, so take a break from scrutinizing stock prices and focus on enjoying your favorite fall activities. If you want an update, please reach out. Otherwise, it may be best to follow Warren’s advice and not watch too closely.