Investors around the market have gotten themselves worked up into a fuss over fears about a potential trade war ignited by President Trump, which has sent many stocks, especially industrial ones, sliding. Despite overblown fears of total economic warfare between the world’s largest economies, however, many other sectors of the stock market are continuing to roar, and this could be the best month to buy stocks for investors who are looking to make a series of savvy purchases.
Should you be concerned about the headlines coming out from Washington? Obviously, investors need to keep their eye on the intense political situation impacting stocks right now, but as you’ll come to see, this remains an excellent time to invest, and purchasing certain stocks right now could prove incredibly lucrative towards your financial future.
Industrial stocks are sliding, but the market has a bright future
While concerns about President Trump’s economic feuds with major trading partners have caused major industrial stocks like Boeing to slide during trading hours, other sectors of the market are still roaring full speed ahead towards gains, especially the tech sector. Some investors may be sheepish about throwing their money into the market presently, but the reality is that the U.S. economy is still soaring skywards, and there are plenty of reasons to believe that economic growth will remain powerful for some time.
A recent jobs report from February, for instance, showed astonishing job growth that added more than 300,000 workers to the economy. By modern standards, these results were some of the best in decades, and illustrate how businesses in a myriad of sectors are still employing more workers thanks to their expectations of a rosy economic future. A broadly healthy U.S. economy is an excellent sign for stock futures, and investors are being faced with a premium opportunity to invest now while stock values are temporarily tamped down thanks to headlines emanating from Washington and Brussels.
Major forthcoming IPOs, particularly those expected from the tech and cosmetics sector, too, show that this is still a stellar month to invest your cash despite worries of those seeking to get a chemical peel. Dropbox’s IPO is likely to be one of the largest tech-driven market debuts in years, for instance, and investors around Wall Street are buzzing about major tech stocks that might go public in 2018, which could reap investors huge profits.
Lingering trade war anxiety may be forcing investors who are engaged with industrial stocks to tear their hair out with worry, but much of the economic anxiety being exuded from political leaders is largely misplaced. For the most part, the sound and fury emanating from Washington is mere politicking, rather than actual anxiety about serious economic inequality, and investors can rest assured that this month will likely see stocks up their recent gains.
Learning to resist the panic
Investors who are tricking themselves into believing the market is about to enter a downturn based on nonsense, like fears that March is traditionally bad for stocks or that politicians everywhere are about to engage in full-throated war across international markets, need to re-evaluate the current economic situation and learn to resist the panic that’s taken ahold of some market analyst.
Tech stocks in particular are gaining the attention of many finance investors and those who are worried, particularly because despite whatever else may happen, consumers everywhere will doubtlessly remain ravenous for new technical innovations, gadgets, and software. The market is already abuzz with rumors about which tech stocks may perform the best, and for good reason; there’s plenty of evidence to show that the currently burgeoning tech market is only likely to grow in the future.
With a rapidly growing Asian tech sector coming to challenge traditional American giants like Alphabet and Amazon, for instance, investors have good reason to believe that the tech market is about to be more diversified, and thus more secure from sudden collapse. Other realms of the economy are doing well, too; consumer confidence is virtually at an all-time high, for instance, and recent tax reform efforts in the U.S. have given businesses and taxpayers of all sizes a bit of extra cash in their pockets.
Thus, investors should learn to be calm despite frantic headlines, and remember to re-examine the fundamentals that often drive broader economic growth, like employment figures, consumer confidence, and the amount of cash companies and individuals alike have on hand to invest in their future. Perhaps the surest sign that this month is a great month for buying stocks is that companies everywhere are still investing, especially when it comes to emerging technologies, meaning they expect serious returns on their investment in the near future. Don’t buy into the panic, but rather learn to take advantage of everyone else’s growing fears, and consider making March the month you start seriously investing in the stock market.