Interpreting Market Timing Signals In Times Of Uncertainty

Fear-fueling headlines related to war, inflation, interest rates and other major topics of concern can influence portfolio decisions. But the stock market throughout history – from 9/11 to Brexit to Covid and beyond – has shown it can move counter to how it "should" react to news events and economi

Portfolio decisions can be influenced by headlines that are based on fear, such as those about war, inflation, rates of interest, and other important topics. The stock market has historically shown that it can react in a way contrary to what it "should" to economic data and news. This is true from 9/11, Brexit and Covid. IBD's Alissa Coram and Ken Shreve explain how to interpret signals coming from major indexes, leading stocks and other economic data points to make sure traders follow the market trend and not let headlines dictate trades.