Sticking to the plan

Today was the worst day in the market since June 2020. The reacted to another tough CPI report which shows that inflation continues to rise. We’re undoubtedly going to see another significant rate hike in the next week when the Fed meets.

It’s hard to believe that things could be worse after the year we’ve had, but here we are. Hearing news like this and watching your portfolio continue to tumble is not fun by any means.

It’s days like today where it’s good to remind yourself that when you’re investing for the long term, this short term volatility will not have a major impact. The worse thing one person can do right now is overreact to the news.

Instead, we need to all take a deep breath and stick to the plan. In 5, 10, 20, 40 years we won’t even remember today as it relates to the markets. I’m not sure when things will start trending upwards again, but data has shown that our portfolios will reward us for staying invested. We just need to let things run it’s course.