Here’s what usually happens after a 20% plunge

Here’s what usually happens after a 20% plunge

If there is anything to hang your hat on during the current bear market in stocks, it’s that longer term markets tend to rebound very nicely.

The S&P 500 has been higher three years later in eight out of nine cases in which the index has fallen 20% or more from an all-time high going back to 1957, according to research from Truist co-chief investment officer Keith Lerner. Stocks have returned on average 29% during those eight cases.

Interestingly, stocks have also sharply regained ground a…


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