Stock Market Concerns - ABC5 News Des Moines, IA

Stock Market Concerns

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Addie Olson

aolson@myabc5.com

@addieolson

The government shutdown along with the threat of hitting the debt ceiling has a lot of investors concerned.

Matt Kneifl, an Edward Jones financial advisor, watches the stock market day in and day out. He said the chance of hitting the debt ceiling is slim, but he knew some of his clients would be worried - just as they have been since the shutdown.

He's been calling them to ease their concerns over the last few weeks.

"They say right away, 'Yeah, we're a little concerned about that,' so we start right away talking about their concern but then also talking about that long term picture," Kneifl said.

Kneifl describes the shutdown as a short–term financial climate from which the market will eventually rebound.

"We've been through 17 government shutdowns since 1977. On average, just 12 months after a government shutdown, the market is up 13 percent."

Looking at those statistics, he said the best move is to keep your money in the market.

"I didn't have clients sell out and panic because we know that this happens and we go through times like this," Kneifl said.

If anything, he said now could actually be a buying opportunity for investors.

"When the market pulls back if there's money to allocate to good long term investments, we're doing just so."

Lately he's kept an eye on both the market and the government. After 16 days of shutdown, that relationship has become all too apparent.

"What the government says right now is affecting the markets and that's unfortunate," Kneifl said. "We would wish that Congress and the Senate would get through certain things like this with ease, they're just not."

Kniefl also touched on social security and concerns that people have had there. He said people should still look at their long term plan and not panic about what's going on right now.

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