Stocks trampled as Nikkei crashes 13%

This is mostly a reaction to the Bank of Japan raising interest rates to prop up the weak yen. Overall, the Nikkei is now back to where it was in October 2023, and still up almost 100% compared to its COVID lows in March 2020.

Why wouldn't it?

It’s scary headlines like this: ‘trampled’, ‘crashes’, that put off less informed, risk averse individuals on lower incomes/ net worth, from investing in stocks.

It’s a shame, as ETFs, and hell, index funds if you must, outperform savings on a 3 year or even less horizon.

Yes, my portfolio dropped 7% this month. I’m still up 6% YTD and 13% in the last 12 months.

My horizon is well over 5 years. It would be an easy way to slow or even reduce my net worth if I were to put it all in a savings account.

Yet this is what a lot of folks do, frightened by scary bombastic headlines without a balanced long sighted story.

Current stock performance is very notable and newsworthy, yet lacks any narrative outside of short term performance.

My media's telling me that US recession fears are affecting US stocks. And when US stocks are affected, the effect on cryptocurrencies is generally magnified since cryptocurrency is viewed as a risk asset, so one of the first to be sold off in a panic.

Nice! Going to be looking for volatility to sell...

Lots of panicked investors gonna be rushing for insurance tomorrow. :DDD