Investors urged to stay calm after downturn

After a week of significant stock market declines that led to sweaty palms among hobby investors, Tine Choi Danielsen, PFA Pension’s chief strategist, advises against rash sell-offs and emphasizes adhering to one’s original investment strategy and time horizon. She notes that the market generally rises more than it falls over time. Key U.S. indicators and corporate earnings reports sparked uncertainty and selloffs; a disappointing American job report raised concerns about a potential recession in the U.S., which also tends to affect Denmark. Locally, the C25 Index in Denmark saw its biggest downturn since September 2022 with a drop of 2.5%. Danielsen underscores the ever-present risks in stock investing, suggesting a minimum investment horizon of three years, and advises diversifying investments to mitigate risks, as exemplified by the sharp decline in stock values of Amazon and Intel, the latter losing over 26% of its market value following a disappointing earnings report.