How Much Lower Can The Stock Markets Go?
- Date: 2008-07-11 - Word Count: 281
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The stock markets in the United Kingdom and United States are currently lower today than they were ten years ago. The credit crunch is sending shockwaves through the markets and many investors are running scared. So how much lower can the markets go?
We are now into the second half of the year, a year which has seen some dramatic falls on stock markets around the world. It is the year of presidential elections in the United States and this normally presents a good year for the financial markets. Some analysts believe that the Dow Jones will bounce back in this second half of the year and that the worst is over. I am not so sure.
I have certain opinions of where the markets will go from here however I am not a financial adviser and therefore what I write here should not be seen as advice.
I actually like to invest into the markets during troubled times such as these. It is a prudent to take advantage of the benefits of pound cost averaging where you invest on a monthly or quarterly basis. When the market falls you are able to purchase more shares or units for your money which will enable you to make more money when the markets eventually pick up.
I think that the markets could well fall by at least another ten percent before they start to turn. I therefore am not rushing to invest lump sums into the market.
I am also choosing to invest into different areas of the world via a fund rather than purchasing shares into individual companies. I am hoping that this will stand me in good stead to ride out these turbulent times.
We are now into the second half of the year, a year which has seen some dramatic falls on stock markets around the world. It is the year of presidential elections in the United States and this normally presents a good year for the financial markets. Some analysts believe that the Dow Jones will bounce back in this second half of the year and that the worst is over. I am not so sure.
I have certain opinions of where the markets will go from here however I am not a financial adviser and therefore what I write here should not be seen as advice.
I actually like to invest into the markets during troubled times such as these. It is a prudent to take advantage of the benefits of pound cost averaging where you invest on a monthly or quarterly basis. When the market falls you are able to purchase more shares or units for your money which will enable you to make more money when the markets eventually pick up.
I think that the markets could well fall by at least another ten percent before they start to turn. I therefore am not rushing to invest lump sums into the market.
I am also choosing to invest into different areas of the world via a fund rather than purchasing shares into individual companies. I am hoping that this will stand me in good stead to ride out these turbulent times.
Related Tags: shares, united kingdom, stock markets, financial markets, credit crunch, pound cost averaging
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