You might be warming to the stock market. Be prepared for it to drop

  • 📰 CNBC
  • ⏱ Reading Time:
  • 40 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 19%
  • Publisher: 72%

Business News News

Business Business Latest News,Business Business Headlines

On the heels of 45% gains in the major indexes since their late-March lows, stocks are now the top pick for long-term investing, a survey shows.

If you've decided the stock market isn't so bad after watching it rebound over the last several months, be aware that its positive momentum could shift at any time.

If you don't stay invested through the dips or dives, you may not benefit from the long-term growth potential.The stock market now ranks as the best place to put money not needed for at least a decade, according to aof investors, with 28% choosing it, compared with 20% a year ago, when real estate was tops at 31%.

While the increased faith in the stock market could be viewed as a positive — savers see its long-term growth potential — it also comes with a downside: The sentiment comes on the heels of a big market run-up. "Investors tend to chase performance, and that's concerning," said Greg McBride, chief financial analyst at Bankrate. "That tends to lead people to buy when prices are high and then sell at lower levels if they panic."

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 12. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Analysts warn of 'double edged sword' in China market rally as investors indulge in frenzied, risky tradingChina's recent stock market rally is raising fears that it's being driven by retail investors indulging in leverage-fueled risky trading which caused a spectacular crash back in 2015.
Source: CNBC - 🏆 12. / 72 Read more »

Tesla's insane stock price makes sense in a market gone madLike a SpaceX rocket lofting a Tesla Roadster into orbit, Tesla stock is on a vertical trip into outer space. russ1mitchell explains: russ1mitchell Makes as much sense as two women agreeing to birth 6 children with Elon Musk.
Source: latimes - 🏆 11. / 82 Read more »