It’s Official; We Are in a Bear Market
The Standard and Poor’s, or S&P 500, stocks officially went into bear market territory this week, which is now front-page news. The S&P has just over 500 stocks and, as a stock index, is more representative of the market overall than the Nasdaq or the Dow. The definition of a bear market is when a stock Index drops 20% below recent highs. The S&P peaked on January 3, 2022. On Monday of the week of June 13, the market closed down 21.8% from its peak. That means we are about 5 ½ months into an official bear market.