Despite tonnes of optimism in the stock market in the last few months, there are several reasons the market could crash again in 2020. The post 4 Ways the Market Could Crash Again … In March and April, the stock markets began to move again. The stock market could also crash over the next three months if history repeats itself. The highest-profile immediate risk to the economy is what caused the 2020 stock market crash in the first place: the pandemic. But my bet with regards to virus-related concern is that I do not think that we will crash again back to March-April Lows in 2020 just because of the virus. But if the Democratic Party candidates win in Georgia, all bets on gridlock are suddenly off the table. | Source: transportgeography.org You'd be forgiven if you saw the recent all-time highs of the stock market and thought the gains we've seen in 2020 are not sustainable. Warren Buffett’s decision to sell $30 million worth of stock suggests the famed investor is preparing for a stock market crash. What Wall Street is unlikely to be OK with is a slew of credit, loan, and mortgage delinquencies as a result of additional lockdown measures. Market data powered by FactSet and Web Financial Group. Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services. That's unlikely to happen. Rather than investing based on emotion, intuition, or pure luck, someone who dollar-cost averages invests at pre-planned times. For example, the Pfizer/BioNTech vaccine candidate needs to be stored below 100 degrees Fahrenheit. Make sure you aren't investing any money that you will need in cash over the next three to five years, and be ready to invest in both good times and bad ones. The stock market is crashing again, and there are five forces weighing down stocks you must be aware of. Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services. Investors who waited too long to get invested missed either some, or all, of the rally we've witnessed over the past few months. Buffett’s investment theory teaches investors should pull back when the market is getting greedy. A second wave of illness. A Pew Research Center survey in September found that the number of people likely to get the vaccine had fallen from 72% to 51% since May, with those who "definitely" wanted the vaccine (if available today) halving from 42% to 21%. And then they crash again. Investors have known for months that this market is unstable. This can be particularly helpful in times like these, with periods of widespread market volatility. The stock market rebound looks like a return to normal, but, in reality, it’s the start of the bear market. The stock market crash of 1929 is the benchmark against which all other market declines are measured. If the U.S. stock market crashes again, you should ideally invest more. According to data from market analytics company Yardeni Research, the S&P 500 has undergone 38 official corrections of at least 10% over the past 71 years. What they want to know is "Is the stock market going to crash again soon ?" Market data powered by FactSet and Web Financial Group. The years 1992-2000 were favourable for the stock market and the … This is because, despite factoring in frequent corrections, the S&P 500 (the generally accepted representative of the U.S. stock market) has averaged returns of roughly 10% per year over the last century. It destroyed a generation of people and changed their relationships to their family, to each other, and to the government. 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