A Viral Market Meltdown III: Pricing or Value? Trading or Investing?
aswathdamodaran.substack.com
This is the third, and I hope the last, of my viral market updates, reflecting how much change a week can deliver, and last week delivered more change than most investors could handle. Not only did we see two of the worst market days in history, in absolute terms, we also saw the worst single day in US market history since October 19, 1987, in percentage terms. In fact, the price change this week has been so dramatic that it makes the tables that I provided last week on market damage, across sectors and regions, seem dated. In this post, I will update those tables, but I want to focus on a much larger question of how investors should craft a response to the market meltdown, and how that response cannot be one-size-fits-all.
A Viral Market Meltdown III: Pricing or Value? Trading or Investing?
A Viral Market Meltdown III: Pricing or…
A Viral Market Meltdown III: Pricing or Value? Trading or Investing?
This is the third, and I hope the last, of my viral market updates, reflecting how much change a week can deliver, and last week delivered more change than most investors could handle. Not only did we see two of the worst market days in history, in absolute terms, we also saw the worst single day in US market history since October 19, 1987, in percentage terms. In fact, the price change this week has been so dramatic that it makes the tables that I provided last week on market damage, across sectors and regions, seem dated. In this post, I will update those tables, but I want to focus on a much larger question of how investors should craft a response to the market meltdown, and how that response cannot be one-size-fits-all.