Stocks continue to slump in September. Central banks are tightening monetary policies by raising benchmark interest rates.
|Stock Indices||26-Aug-22||23-Sep-22||Change (%)|
|Hang Seng (HK)||20,170.04||17,933.27||-11.1%|
|S&P 500 (USA)||4,057.66||3,693.23||-9.0%|
|Dow Jones (USA)||32,283.40||29,590.41||-8.3%|
|CAC 40 (France)||6,274.26||5,783.41||-7.8%|
|Australia All Ordinaries||7,345.80||6,788.70||-7.6%|
|UK FTSE 100||7,427.31||7,018.60||-5.5%|
|Nikkei 225 (Japan)||28,641.38||27,153.83||-5.2%|
All major stock indices above were negative with Hang Seng Index (-11.1%) and Nasdaq (-10.5%) heading the dishonour list above.
The year-to-date changes as at 23 September are shown in the table below.
|Stock Indices||31-Dec-21||23-Sep-22||Change (%)|
|Hang Seng (HK)||23,397.67||17,933.27||-23.4%|
|S&P 500 (USA)||4,766.18||3,693.23||-22.5%|
|CAC 40 (France)||7,153.03||5,783.41||-19.1%|
|Dow Jones (USA)||36,338.30||29,590.41||-18.6%|
|Australia All Ordinaries||7,779.20||6,788.70||-12.7%|
|Nikkei 225 (Japan)||28,791.71||27,153.83||-5.7%|
|UK FTSE 100||7,384.54||7,018.60||-5.0%|
All stock indices above were negative except for Singapore’s Straits Times Index (STI), which was up 3.3% year-to-date.
Nasdaq lost 30.5% so far from the start of the year.
What to do?
History shows us that stocks will eventually rally up after a period of time (maybe years) after a major slump. I will not panic at this time. As long as corporations have a track record of good management, they will come back to winning ways in the future. The key is to watch the operations of these corporations in this trying period.
Copyright © 2022, limkimtong for Living Investment
The material presented is intended to be general and written in layman’s language as much as it is possible. The author shall not be liable for any direct or consequential loss arising from any use of material written. Please seek professional advice from your financial advisor or financial institutions on material written covering financial matters.