{"id":13744,"date":"2025-04-30T18:28:48","date_gmt":"2025-04-30T18:28:48","guid":{"rendered":"https:\/\/zacksim.com\/blog\/?p=13744"},"modified":"2025-04-30T18:28:48","modified_gmt":"2025-04-30T18:28:48","slug":"april-was-the-most-volatile-month-since-2020-how-to-prepare-for-whats-ahead","status":"publish","type":"post","link":"https:\/\/zacksim.com\/blog\/april-was-the-most-volatile-month-since-2020-how-to-prepare-for-whats-ahead\/","title":{"rendered":"April Was The Most Volatile Month Since 2020– How To Prepare For What’s Ahead"},"content":{"rendered":"\n

Kelly S. from Bismarck, ND asks: <\/em>Hello Mitch, I\u2019m writing to ask you about the market volatility over the past few weeks. It feels like every day the market is either up a lot or down a lot, and it\u2019s hard to make heads or tails of whether things are improving or maybe getting worse before they get better. What\u2019s your perspective? Thank you!<\/p>\n\n\n\n

Mitch\u2019s Response:<\/strong><\/p>\n\n\n\n

Thank you for writing. I very much understand what you\u2019re asking, in large part because you are objectively correct\u2014April 2025 was the most volatile month for the S&P 500 since the pandemic crash in 2020. At one point late in the month, the S&P 500 had gained or lost 1% in 9 of 12 trading sessions, underscoring your point of wild swings in both directions.1<\/sup><\/p>\n\n\n\n

The CBOE Volatility Index, known as the VIX, illustrates the recent spike:<\/p>\n\n\n\n

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Source: Federal Reserve Bank of St. Louis2<\/sup><\/em><\/strong><\/figcaption><\/figure>\n\n\n\n

As I\u2019ve recently written in my Mitch on the Markets <\/em>column, we\u2019re currently in an event-driven market, meaning that news stories, policy changes, or even rumors of policy changes can have an immediate impact on share prices. In my view, one of the biggest mistakes an investor can make in this environment is to overreact or anchor your sentiment to a particular story\u2014whether in a positive or negative direction.<\/p>\n\n\n\n

Don\u2019t Make These Mistakes in a Volatile Market<\/a><\/u><\/strong><\/p>\n\n\n\n

Market swings like we\u2019ve seen recently can rattle even experienced investors\u2014leading to second-guessing, rushed decisions, and costly mistakes. April was the most volatile month for the S&P 500 since 2020, and uncertainty like this demands a smarter approach.<\/p>\n\n\n\n

Zacks guide, The Do\u2019s and Don\u2019ts of Stock Market Volatility<\/u>\u00b2<\/a><\/em><\/strong>, shares what we\u2019ve learned from helping high-net-worth investors navigate decades of ups and downs. You\u2019ll discover:<\/p>\n\n\n\n