Liz Ann Sonders reminds investors that panic selling is no way to respond to a market correction. So how should investors react to the current volatility? The Chief Investment Officer at Schwab offers sound advice. The U.S. economy is actually looking up according to the Atlanta Federal Reserve’s GDPNow forecast model. Reuters covers the new numbers. If you’re like many investors who are shaken at the ups and downs of the markets, a guessing game may help you understand the phenomenon drives everything from the stock markets to the price of everyday grocery items.

Panic Is Not a Strategy–  If markets are good at one thing, it’s reminding investors that they don’t go up uninterrupted forever. The US stock market went over 1,000 trading days between its 2011 correction and the one we’re in the midst of presently. Normally, corrections—defined as declines of at least 10%—occur about once a year.   This article by Liz Ann Sonders, Chief Investment Officer at Charles Schwab, serves to remind investors that neither panic nor greed is an investment strategy. The best foundation to help protect a portfolio against the unpredictable is having—and sticking with—a long-term strategic asset allocation plan. Read more…

U.S. 3rd Quarter Growth Forecast Is Sharply Up- The U.S. economy is on course to achieve 1.3% annualized growth in the third quarter, due to a surprisingly strong rise in industrial output. This number is up from the previous forecast of 0.7% by the Atlanta Fed.  Read more…

Weighty Issue: Cow Guessing Game Helps To Explain The Stock Market–  A few weeks ago, NPR asked a simple question:  how much does a cow in a photograph weigh?  Over 17,000 people responded.  NPR wanted to know how good the collective guess of the crowd would be. The idea was to understand this eerie phenomenon that drives everything from the stock market to the price of orange juice.  Read more…

We hope you enjoy reading these articles along with us and that you find them informative.  Please forward this to your friends and family.

John R. Day, Bill Ennis, Stephanie Davidson and Matt Heller

Disclosure – The articles mentioned in Mid Week with Day & Ennis are for information and educational purposes only. They represent a sample of the numerous articles that the firm reads each week to stay current on financial and economic topics. The articles are linked to websites separate from the Day & Ennis website. The opinions expressed in these articles are the opinions of the author and not Day & Ennis. This is not an offer to buy or sell any security. Day & Ennis is under no obligation to update any of the information in these articles. We cannot attest to the accuracy of the data in the articles.