The real catalysts for market sell-offs

Investing


Sometimes, even the best stocks get hit hard by broader market sell-offs, and it’s natural to wonder why, CNBC’s Jim Cramer said.

But most of the time, it’s not because of some underlying weakness in the stock that investors didn’t catch.

Nowadays, market sell-offs can happen because of index futures rather than actual fundamentals, an action that the “Mad Money” host said seems “at best stupid and at worst corrupt” and can drive investors crazy.

“The truth is, your inclinations are right and the action is every bit as stupid as it appears. There’s no way to think of it other than negatively,” Cramer said.

That’s why investors need to remain level-headed in the face of widespread downturn. All markets will eventually go down, but you can make those declines work for you, not against you, Cramer said.

These days, S&P 500 futures run the show, and investors should never flinch at stocks going down despite strong fundamentals, he advised.



Source link

Products You May Like

Articles You May Like

1 million new $1,400 stimulus checks have been sent. Who got a payment
Coach owner Tapestry (TPR) Q3 2021 earnings
House committee to consider ‘Secure 2.0’ retirement bill this week
Is it safe to travel this summer or fall? Here’s what experts say
Pfizer PFE earnings Q1 2021 beat estimates

Leave a Reply

Your email address will not be published. Required fields are marked *