Despite China’s announcement that it would not pursue additional tariffs on U.S. vehicles and the unexpected high performance of both retail sales and industrial production in the U.S., the markets continued their rapid selloff throughout Friday’s trading session. All three of the major U.S. indices fell, a move that was set into motion not only by weaker than expected economic data from China but also growing concern over the international economy. Basically, various positive and negative economic forces continue to dramatically drive the U.S. markets up and down.
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The current trade relationship between the U.S. and China has added more volatility to a market that was already unstable in part because of the decline of manufacturing around the globe. That said, in an environment where there have been global economic slowdowns, the U.S. economy continues to do better than expected. Fears of a U.S. recession are a bit exaggerated, especially since it’s believed that a trade compromise between the U.S. and China is coming early next year.
 
This turbulence is not unique to the U.S. markets. The ever-churning news cycle continues to influence the European markets, too, as investors eagerly watch the news coming out of Europe concerning Brexit and speculating how it will ultimately affect the European economy.
 
Determining the bottom of an equity market pullback isn’t easy, especially when news cycles move so quickly and headlines hold so much influence over short-term market behavior. It’s can be extremely unsettling. A volatile market makes us feel like we’re not really in control which causes deep emotional reactions that aren’t always easy to resolve. It’s difficult to think rationally in these situations but the truth is that these downturns actually present the perfect opportunity to take a good look at your ultimate strategy and consider rebalancing long-term investments.
 
We wanted to reassure you of a few things to help you ride out the current downturn so that you can sleep a little better at night. Here are three things to keep in mind.
 

• A volatile market is normal. It may not seem like it but up and down cycles are a common and expected part of investing. Everything is cyclical and while it’s impossible to predict how long the downturns last, it’s possible to say that there’s an uptick on the other side.
• Don’t let your emotions get the best of you. The more you allow your emotions to influence your investment strategy, the more likely you are to make a rash decision. The decisions you make today have long-term consequences. Strategically, we know that holding back now puts you in a better position when the markets do rebound. We’re here to help you stay calm and focused on your long-term goals.
• Look at this as a chance to reevaluate. There could be opportunities presenting themselves that are more conducive to your long-term financial health. Let us help you evaluate the current market and come up with a new investment strategy to help you meet your goals.

 
Any decisions you make when the market is uneven should be well thought-out and planned. While the short-term forecast might not be exactly what you’d hoped for, a long-term plan that can get you through market ups and downs is the best way to avoid making any irrational decisions that can affect your financial health for years to come.
 
We’re always here, ready and willing to help you stay on track to meet your ultimate goals. Whether you need to talk strategy or want someone to offer a different perspective, don’t hesitate to reach out to us if you ever have any questions or concerns. We appreciate your trust and always have time to help.
 
The information contained in this report does not purport to be a complete description of the securities, markets, or developments referred to in this material. The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete. Any opinions are those of Thomas Fleishel and not necessarily those of Raymond James. Expressions of opinion are as of this date and are subject to change without notice. There is no guarantee that these statements, opinions or forecasts provided herein will prove to be correct. Investing involves risk and you may incur a profit or loss regardless of strategy selected. Keep in mind that individuals cannot invest directly in any index. Individual investor’s results will vary. Past performance does not guarantee future results. Future investment performance cannot be guaranteed, investment yields will fluctuate with market conditions.