Investors have done well over the last 2 years to Christmas and may well have had some slight “Christmas Cheer”, recovering their losses and exceeding their pre-covid valuations.
However this last month (Jan-2022) there has been quite a sell-off.
The rotation out of high-flying tech and pandemic-themed stocks has been unusually brutal but from a technical perspective it has happened in a rather orderly fashion. It is not a quick massive daily loss like we have seen before, with The S&P 500’s fall at 9.8% during January from its all-time high settlement on 3/1/22.
I think we’re overdue some regular volatility this new year, which may feel shocking to investors because we’ve been so spoiled for almost two years during the pandemic. However stock market investments still offer the opportunity for greater growth than the Interest rates currently being offered.