What Warren Buffett and Other Smart Investors Know About Buying Stocks in a Bear Market
The legendary Warren Buffett once wrote: "A simple rule dictates my buying: Be fearful when others are greedy, and be greedy when others are fearful." He shared that timely advice amid the Great Recession in 2008, which makes it especially relevant right now.
Inflation has hammered the U.S. economy this year, reaching levels not seen in four decades, and the Federal Reserve is raising interest rates so aggressively that many economists and finance experts see a recession on the horizon. Those worrisome events have sent the stock market tumbling. The S&P 500 and the Nasdaq Composite have now declined for three consecutive quarters -- that hasn't happened since 2009 -- and both indexes have dropped into a bear market.
Here's what investors should know.
Source Fool.com
