Did the stock market crash today? Buy the dip or wait for the dust to settle?
The market dropped hard today and did the stock market crash today is the top US search. Bitcoin is down about 50 percent from its peak and the crypto market has lost over 500 billion dollars this week on new tariff threats. I hold mostly index funds and I have some cash on the sidelines. Is today the kind of dip you buy, or is this the start of something worse where waiting a few weeks is smarter? What are other regular investors actually doing?
1 answer
- Wait two weeks, then buy the index
Do not catch a falling knife on day one. Tariff headlines move markets for weeks, not hours. Park the cash, set a calendar reminder for two weeks, then buy your index fund in one go. If it is lower then, great, you bought cheaper. If it recovered, you missed nothing because you were never going to time the bottom anyway.