Chart Of The Day: Here's Why Recent Volatility Is Far From Abnormal
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Lest you think recent stock market volatility is “unprecedented.” This is nothing compared to other periods in market history.
Going from a reading of 12 to 22 is jarring, but it is far from abnormal. If this level of volatility scares an investor, then risk tolerance is quite low and other asset classes may be more suitable.
But this is what the market does.
In a famous response to a question about what the market will do, J.P. Morgan responded, “It will fluctuate.”
And so it does.
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