On the Record: Navigating the rollercoaster stock market
Financial advisor Rockie Ziegler, owner of R.P. Ziegler Investment Services, joined 'WMBD News: On the Record' to break down what's happening and how to stay financially steady during uncertain times.
'Wall Street really, really hates uncertainty. And with the current trade policy, if you can call it that, the current trade policy has created a lot of uncertainty,' he said.
The constant announcements, pauses, and policy reversals are contributing to market instability because investors don't know what to expect even a week from now, Ziegler said.
'So with all of this uncertainty that's going on, it's caused Wall Street to be a little jumpy because we don't really know exactly what all the tariff situation is going to look like tomorrow, let alone in two or three weeks,' he said.
Even traditionally safe investments like bonds have seen more volatility.
'Part of that has to do with pressure on the Federal Reserve to lower interest rates. So far, they haven't done that, and the bond market reacts to even the possibility of rate changes. That's created more ups and downs than we're used to seeing,' said Ziegler.
So what does that mean for your stock portfolio? Ziegler said its a good idea to evaluate your investments and risk tolerance.
'There are companies in different market sectors that have more exposure to the tariff situation than others. So it's a good time to take a look at that and just take a look at your overall risk tolerance and determine, am I comfortable with this level of risk? Do I think I should take on more risk or am I not comfortable?,' he said.
For those not heavily invested in the market, the financial strain is still being felt at the grocery store and gas pump.
Ziegler's biggest piece of advice: Don't panic.
'Don't get too caught up in all of the negativity out there. There's a lot of negative headlines, a lot of negative articles, a lot of talk about recession, a lot of talk about bear markets, market drops, things like that,' he said. 'If you're an investor, if you're a shopper, don't panic. All this is temporary, just like most everything in life. This is temporary as well. It'll resolve itself one way or the other.
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Fiddelke added, "I bleed Target red after 20 years here, and there's nothing more important to me than working with the incredible team that we have to chart the next chapter for Target. I mean, I've seen us in that 20 years at our best. I've seen us not at our best. When we're at our best, we are pretty darn tough to beat." To students of Target history such as myself, this decision isn't a surprise. For one, Fiddelke has been Cornell's right-hand man for several years now. It has become quite apparent over the past year that he was grooming Fiddelke to take over while also working behind the scenes to get board buy-in. I have gotten to know Fiddelke in recent years. He is a nice fella and has indeed earned the opportunity to sit in the CEO seat. If this was any other time for Target, the decision would probably be celebrated. It's not often an intern at a company becomes its CEO. 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