What to do about the market selloff

Hey Global Hustlers,

This week, the US stock market experienced significant turmoil, driven by investor concerns surrounding tariff policies.

The S&P 500 declined 3.1% for the week, its sharpest decline since before the 2024 U.S. election. The Nasdaq was down 3.5%, and the Dow was down 2.4% on the week.

For seasoned investors, this isn’t a time to panic—it’s a time to strategize.

What Is a Stock Market Correction?

A stock market correction refers to a short-term decline of at least 10% from recent highs.

Unlike a crash, which involves a more severe drop of 20% or more in a short period, corrections are a natural part of market cycles.

Corrections can be triggered by various factors:

• Economic or geopolitical events: Examples include the coronavirus pandemic in March 2020 or tariff concerns today.

• Sector-specific implosions: Think of the dot-com bubble in 2000 or the housing crisis in 2008.

• Overvaluation: When “irrational exuberance” drives prices beyond fundamentals, corrections bring them back to reality.

Can You Predict a Correction?

The short answer is no.

Market corrections are inevitable; history shows there’s a 100% probability of experiencing one within any given decade.

While timing them is impossible, understanding their cyclical nature can help you prepare.

Lessons From Stock Market Correction

History teaches us that markets always recover. For example, the S&P 500 has consistently rebounded after every major downturn.

Long-term investors who stayed the course have been rewarded handsomely.

If you invested $500 monthly for 30 years through all market conditions, you could become a millionaire—even amid volatility.

Two key lessons for navigating corrections:

1. 1.Don’t panic and sell during downturns.

2. Be patient—recoveries can take time but are inevitable

Why Corrections Are Buying Opportunities

Market corrections often present outstanding opportunities for savvy investors.

Over the past 50 years, all 28 corrections were fully erased by subsequent bull market rallies. Instead of fearing these moments, view them as chances to buy quality stocks at discounted prices.

As Warren Buffett famously said: “Be fearful when others are greedy and greedy when others are fearful.” 

This mindset helped him thrive during the depths of the 2008 financial crisis—and it can guide you now.

Actionable Advice for Investors

The current market turbulence is unsettling for many, but it’s precisely these “rough waters” that create opportunities:

• Focus on long-term investments rather than short-term panic.

• Consistently invest during bear markets to capitalize on eventual recoveries.

• Look for undervalued stocks with strong fundamentals.

Remember: None of us can predict the future, but history shows that patience and persistence pay off in investing. Stay calm, stay disciplined, and seize the opportunities that arise when fear dominates the market.

The Bottom Line:

Investing in the US stock market can be a game-changer for your financial future. Do your research, understand the risks, and choose the path that aligns with your goals and hustle style.

Stay hungry, stay global, and keep hustling!

The Global Hustlr Advantage

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Happy investing,

The Global Hustlr Team

Disclaimer

We have made every effort to ensure that the information presented by The Global Hustlr is accurate and reliable at the time it is published. Thus, the information should not be interpreted as personal advice or a tailored recommendation. We strongly advise against relying on this content for personal decision-making. If you seek personalized advice or recommendations tailored to your individual situation, we encourage you to consult with a qualified financial adviser who can provide guidance based on your specific needs and circumstances.