Last week, the stock market experienced significant volatility, causing concern among investors. Significant declines on August 5 led to headlines of a “market sell-off” and widespread panic among investors. However, major indices ended the week with little change.

This short-term panic prompted many financial experts to take to their channels and advise investors to calm down. One of them, Dave Ramsey, discussed this volatility in the stock market on the “Ramsey Show” and advised investors to deal with short-term fluctuations.

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“Stock prices have fallen dramatically in the last few days,” Ramsey admitted, before adding sarcastically, “Now the whining, screaming and gnashing of teeth begins that everyone is going to die and we’ll all have to retire and eat Alpo.”

Ramsey criticized the emotional reactions that resulted from the market downturn, stating, “In the short term, the stock market, whether it’s up or down, is a bunch of drama queens.” He emphasized that in the longer term, the stock market is driven by numbers rather than daily fluctuations, which are unreliable for investment decisions.

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Ramsey said the recent downturn was due to a poor jobs report that showed slowing growth, rising unemployment and ongoing concerns about the Federal Reserve’s actions. He advises against reacting impulsively to short-term market changes.

“Anyone who checks their accounts every morning is an idiot,” he said, highlighting the futility of worrying about short-term changes. Instead, he recommended steady, consistent investing, explaining that these fluctuations become irrelevant over time. “In 10 years, you won’t even remember this crap,” Ramsey said.

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Jade Warshaw, co-host of The Ramsey Show, asked a question some viewers may have about whether one should invest even more during a major market drop. She asked what advice Ramsey would give to someone who is considering investing a lump sum and buying up more stocks during these short-term market changes.

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Ramsey’s immediate answer was, “No.” He stressed that this could tempt investors to engage in day trading more frequently. “You shouldn’t try to time the market. All the data and research tells us that people who try to time the market make less money than people who invest regularly.”

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Many financial experts agree that market fluctuations are a normal part of investing. They also stress the importance of having a diversified portfolio to protect yourself from significant losses if the market continues to trend lower.

Tailor your investment strategies to your circumstances. Consulting with a financial advisor can help you navigate the complexities of investing and ensure your strategy is consistent with your long-term financial goals.

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This article “Stock Market Moves, Investors Panic: Dave Ramsey Says ‘In the Short Term, Stock Market Rises or Falls Is a Bunch of Drama Queens'” originally appeared on Benzinga.com

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