History Suggests a Stock Market Crash Is Likely: 3 Stocks to Buy if One Happens
I have a reality check for investors: A stock market crash is likely.
Although the benchmark S&P 500 (SNPINDEX:^GSPC) hasn’t undergone a single correction of even 5% over the past nine months, a case is building, according to history, to suggest that a double-digit percentage crash or steep correction may be on its way.
History may not be the market’s friend in the near term
For example, history has shown that every bounce back from a bear market bottom is inherently choppy, and not the straight line upward that we’ve seemingly enjoyed in 2021. Each of the previous eight bear markets prior to the coronavirus crash featured at least one double-digit percentage pullback within three years. In fact, five of the eight had two such double-digit declines. Bouncing back from a bear market is a process that’s often…