Oil War Drives Markets Down, Pros Urge Patience

0:00Stock markets are taking a beating right now, mainly because of the war in Iran that's choking off oil supplies through the strait of Hormuz. A fifth of the world's oil normally passes there, but fighting has halted most traffic, pushing prices up to $119 a barrel, from around $70 before it started. The S&P 500 is headed for its fifth straight losing week, down nearly 8% from its peak this year, while the NASDAQ has dropped. Over 10% into what's called a correction. Earlier this week, strategist warned that if the conflict drags into late June, oil could spike to $200 a barrel, topping the old. Record from 2008, high prices won't just mean pricey or gas, though high costs for shipping, trucking, and even electricity from gas plants, rippling through businesses, everywhere. Investors are feeling the heat, but pros say this is par for the course. Investors drop 10% or more every year, or two to cool off excess hype. Many are urging folks with retirement money like 401k's to hang tight, especially if they

1:03won't need it soon, since history shows the S&P. 500 bounces back from every crash, from financial crises to pandemics. That said, things feel different with oil volatility and bonds pulling some safe haven appeal away from gold. Experts push diversification to weather the storm, and warn against trying to time a sell-off and buy back, as the best rebound days often hide in the dips. For long-term holders, patience has always paid off through these swings, letting compounds do their work over years or decades ahead. This has been Canada News Today, powered by AI. I'm Corey with The Story.