Around The Table: Stock Market Decline
PITTSBURGH (KDKA) -- If you are old enough, then you know the stock market can go up or take a nosedive.
To refresh your memory, there was Oct. 19, 1987 when the Dow Jones Industrial Average lost 22 percent of its value.
That is still the largest one-day percentage loss in the Dow.
Then there was the tech bubble that burst in 2000.
The attack on America on Sept. 11, 2001, and the financial crises in 2008 that carried into 2009.
After all of those, the markets came back.
They recovered what they lost and went on to set new highs.
Never before though have we experienced huge point losses as we have the past two weeks.
No one can predict the future, but we can make some educated guesses about the economy and the markets.
That is what we will do as we go "Around The Table."
Joining KDKA's Stacy Smith is Jay Sukits, a clinical assistant professor of business administration at the Katz School of Business at the University of Pittsburgh.
Also joining Smith is Rick Applegate, a senior financial advisor and managing director of DBR Fiduciary Plan Solutions.
Let's start with this volatility. Why is it so volatile?
Will it continue to be this volatile?
"Whenever the market gets uncertain, the average investor doesn't know what to do," Applegate said. "They make the wrong decision at that moment."
Since Donald Trump became president, the Dow gained roughly 11,000 points.
Is this a case where the market has to readjust?
"It was long anticipated after 11 years," Applegate said.
Are we entering a recession?
"Fundamentally, we shouldn't be," Sukits said. "If you look at every fundamental ... we shouldn't be close to a recession."
"The worst thing you can do at this time is well," Sukits said.
