I started investing in the middle of July 2018. I started with one share of a long term stock (SPY), and it grew at a very slow rate. I kept it until Nov. 2020, because that stock went downhill in March 2020, but in the end I ended up profiting $103 from that stock. I took the money I made and invested it in two stocks from different companies (Nvidia and Cloudflare), and I started to gain meaningful experience over this summer. This summer I experienced quite a lot of gain from the market, and now the market is collapsing once again.
The stock market is where people can put money into stocks. Stocks represent a fraction of a corporation, so if you buy 1 share of a stock from a particular company, you have a proportion of the ownership. Stocks can go up and down depending on real world events and what happens within the companies.
The stock market has been having its ups and downs since COVID-19 because of unemployment rates and pandemic measures. Recently it has been falling short after the Omicron variant outbreak. Most stocks have been going down since the variant. The stock market has been going down on average above 1% each day according to CNBC. The central bank is considering raising interest rates but these could hurt corporate profits. One stock that was doing well was Nvidia, which went up 125% last year, but it has taken a spill down 28% since the last 3 months.
Still, it’s not all that terrible. The S&P 500 stock is double its lowest point from March 13, 2020, when the pandemic first hit. According to The Washington Post, experts claim that people should take the opportunity to invest more money in stocks that have tumbled down large percentages. Many people who do invest in stocks are in different situations. Some people have already retired, while others are still working and not retiring for a long time. This affects how they invest their money because people may be looking for long term investments, or short term investments. This depends on how many years they have left before retirement.
In my opinion. I believe that you should invest when the market is low, and that stocks will move up again as it happened two years ago. I personally have lost some of my money since the stock market dipped down, but not as much as two years ago, so there is still a chance that the stock market could rise up again.