American stocks are taking another historic hit Thursday finishing down more than 1,000 points for the second time this week. It officially means the Dow is in a correction. As the average is down 10 percent from a record high just two weeks ago.
The Nasdaq and the S&P also saw steep losses, with each falling nearly four percent. Micron was down four percent while Hewlett Packard Enterprise was down three percent. Experts blame Thursday plunge on continued concerns over the bond market, inflation and interest rates.
Doug Beehler, Financial Advisor for Waddell and Reed said in his 32 years of experience he has seen it all and his best advice is do not panic.
"When we look at a thousand point drop it does not mean the same as it did a few year ago," said Beehler
He added we should be looking at the percentage rather than the point drop or gain and that will put things in perspective.
He wants to remind folks that we bounced back from the 2008 drop in the market. For the last couple of years, our nation has seen such an economic growth that inflation is now on everyone's mind.
" I think volatility is here to stay, but the bottom line is if you stay invested and you're investing in your risk tolerance level, and you're looking at your long-term goals and objectives this is actually an opportunity," said Beehler.
He goes on to said the best way to protect yourself is through a well-diversified portfolio. He says in the upcoming months the federal government will most likely raise the interest rates which will slow down the economy and keep inflation under control.
