Explaining the stock market’s recent volatility

STEWART: 55% OF AMERICANS ARE INVESTED IN THE STOCK MARK IET SOME FORM OR OTHER ACCORDING TO THE MOST RECENT GALLUP SURVEY. THAT COULD BE A STOCK, A MUTLUA FUND, OR THROUGH A RETIREMENT SAVINGS ACCOUNT LIKE A 401K A.VINGS ACCOUNT LIKE A 401K IF YOU ARE IN THAT CROWD, YOU PROBABLY NOTEDIC HOW VOLATILE THE FINANCIAL MARKETS HAVE BEEN SO FAR IN 2022. AND THAT WAS BEFORE VLADIR PUTIN STARTED GETTING RESTLESS. THIS MORNING, THE HEAD OF A BURLINGTON INVESTMENT ADVISORY FIRM OFFERS SOMENA ALYSIS ON WHAT’S GOIN.G LOW FEES ARE ONE OF — STEWART: JOINING US, DAN CUNNINGHAM, INVESTMENT ADVISOR AND FOUNDER OTHF BURLINGTON FIRM ONE DAY IN LYJU DAN: GOOD TO BE HERE. STEWART: HAPPY TO HAVEOU Y. YOU ARE BECOMING A FAMOUS FACE. SO YOU ON THE SUPER BOWL LAST SUNDAY PREACHING THE GOSPEL OF LOW FEES. I THOUGHT OF YOU AROUND THE THEEM OF WHAT IS GOING ON WITH THESE TOPSY-TURVY FINANCIAL MARKETS, UP 500 POINTS FOR MORE ONE DAY, DOWN THE NEXT. IS THIS THE NEW NORMAL? DAN: WARE BACK IN THE MARKETS TO WHERE WE WERE IN SEPTEMBER. I WOULD NOT SAY ITS I THAT ABNORMAL, BUT ITAS H SET RECORDS. THE FIRST TW WKSEEO OF JANUARY WHERE THE WORST START TO A YEAR ON RECORD, BUT WE HAVE BAED UP A FEW MONTH S.STEWART:HA W ARE YOUR ADVICE, HOW CHMU ANXIETY DO YOU SENSE?, DA I THINK IT IS RELATIVELY HIGH. AROUND INFLATION, THAT IS THE ISSUE THAT COMES UP MOST FREQUENTLY. IT IS SOMETHING WE HAVE NOT SNEE INHE T U.S. SINCE THE LEAT 1970’S, EARLY 1980’S. WE HAVE NOT SEEN INFLATION AT THESE LEVELS. STEWT: THE FED IS CONCERNED ABOUT THAT AND WILL TR TO REIN IN ITS EASY MONEY, RAISE INTEREST RATES, ITS BENCHMARK RATE. IT SEEMS TO HAVE AN INSTANT EFFECT ON THE MARKETS. NOW THE MARKETS ARE PRICING I THREE, 4, 5, SIX TERA HIKES OVER THE YEAR. DOES THAT MEAN WE HAVE A YEAR OFTHIS TO LOOK FORWARD TO? DAN: THAT WOULD BE NORMAL. IN SOME WAYS, THE STEADY UPWARD TREND OF THE MARKET OVER THE PAST DECADE HAS BEEN ABNORMAL. WE HEAV SOME GBI DOWN PERIODS IN THERE.V SOME GBI DOWN PERIODS IN WE WILL HAVE TO SEE WHERE THINGS COME OUT. INITIALLY THE FED SAID THIS INFLATION IS TRANSITORY. I DON’’ THINK MANY PEOPLE BELIEVE THAT. STAREW IF YOU ARE A WORKING VERMONTER IN THEIR 30’S OR 40’S, WHAT DO YOU DO WHEN YOU SEE TSHI UP PEOPLE –S T UPHEAVAL? DO YOU DO ANYTHING? DA FOCUS ON WHAT YOU CAN CONTROL. IF YOU WORRY TOO MHUC ABOUT MACROECONOMIC EVENTS, THE ANXIETY IS JUST GOING STOET IN. FOCUS ON YOUR OWN SKILLS, YOUR OWN SAVING. FOR EXAMPLE, SKILLS AREOI G TO — THE VALUE IS GOING TO IF THERE IS INFLATION, YOU ARE PROTECTING YOURSELF. STEWART: A DOLLAR YOU INVEST TODAY AFTER AIP D HAS MORE ROOM TO GO UP. DAN: THAT IS RIG.HT REMEMBER THAT IN THE STOCK MARKET, WE…