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DON'T PANIC: MARKET UPS & DOWNS ARE NORMAL

Why short-term dips shouldn't scare long-term investors!!


If you’ve been paying attention to the stock market lately, you might’ve seen some red days — maybe even red weeks. It’s totally normal to feel a little anxious when your investments take a hit. But here’s the truth: market dips are a normal part of investing, and history shows us that the market has always recovered — and grown — over time.

In this post, we’ll break down what’s been happening lately, why dips aren’t as scary as they seem, and how to stay focused on the big picture.



What’s Going On in the Market?


Recently, the market’s been a little rocky — some sectors are down, inflation’s still in the picture, and headlines love throwing around words like “volatility” and “correction.” But the market is always moving. It goes up, it goes down, and sometimes it just drifts sideways for a while.


One of the big headlines lately? Tariffs.


Several new trade restrictions and tariff hikes have been announced over the past few weeks, especially between the U.S. and key global trade partners. This has made certain imported goods more expensive, raised costs for businesses, and shaken investor confidence. When companies expect higher costs or reduced international sales, their stock prices can dip — even if the business itself hasn’t changed.


What matters most isn’t what happens over a week or a month — it’s what happens over years.


The Market Always Recovers (If You Give It Time)


Let’s zoom out. If you look at any 10-year period in U.S. stock market history, the market has always ended higher than where it started.


That includes the 2008 financial crisis.

That includes COVID’s 2020 crash.

That even includes the dot-com bubble.


Why? Because the stock market reflects long-term growth in businesses, innovation, and the overall economy. Sure, there are bumps — but over time, things trend up.



Example: Investing Through the Dip


Let’s say you invested $10,000 right before a major market drop. Not ideal, right? But if you left it invested and checked back 10 years later, your account would almost always be up — often way up.


The people who didn’t sell when things got scary? They came out ahead.



Why You Shouldn’t Try to Time the Market


Trying to “buy low and sell high” sounds good in theory, but in real life? It’s almost impossible to do consistently.


If you panic and pull your money out when the market drops, there’s a good chance you’ll miss the rebound — and that can cost you big time.


Missing just the 10 best days in the market over a decade can cut your returns in half.



How to Handle Market Dips Like a Pro


  1. Zoom Out

Look at your investments on a 5–10 year timeline. Daily dips look tiny in the big picture.


  1. Stick to Your Plan

If you're investing regularly, keep going. You're buying more shares when prices are low — which can boost your returns later.


  1. Don’t Let Emotions Lead

Fear and money don’t mix well. Making decisions based on headlines or social media hype usually doesn’t end well.


  1. Focus on What You Can Control

You can’t control the market. But you can control how much you save, invest, and how you react when things get shaky.



Bottom Line


Market dips are totally normal — and honestly, they’re a part of what makes long-term investing work. When prices drop, long-term investors are getting a discount.


So the next time your portfolio takes a little dip, take a breath, zoom out, and remember: the market has always gone up over time. Stay consistent, stay invested, and let time do the heavy lifting.

 
 
 

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Lauren Gage is a Financial Advisor with, and securities and advisory services offered through LPL Financial, a registered investment advisor. Member FINRA/SIPC.

The LPL Financial Registered Representative associated with this site may only discuss and/or transact securities business with residents of the following states: CA, OR, WA, TX, FL, & WI. 

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