Should You Buy Stocks Before a Recession?

You've probably heard it before: "Now is a great time to buy stocks." It's true that valuations are low, and bargains have multiplied. Still, you might be worried about following this advice. Rising inflation and general economic woes have weighed on companies' earnings in recent times. And to make matters worse, the Federal Reserve is predicting a recession later this year.

So, you may not be eager to jump into the market. Still, it's important to remember long-term investing is the sort of investing that generally brings great returns. And when you invest for long periods of time, you're sure to encounter a recession. Now the big question is: Should you really buy stocks before a recession -- or should you wait? Let's find out.

History shows us indexes often decline during a recession. This was the case during the Great Recession of 2007 through 2009 and the previous recession in the early 2000s. But these periods are pretty short in the context of long-term investing. If you're investing for the long term, count on holding a stock for at least five years.

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Source Fool.com