Does A Falling Stock Market Mean Taking Action? [POLL]

January is a month of new beginnings. January is also a month were the previous year is tallied and wrapped up. It's the month when people's tax documents — from W-2s to year-end statements from retirement plans — show up in the mailbox or inbox.

While most people have an idea what their W-2 will say — just take a look at the last 2018 paystub — the big question will be what the retirement funds will have to offer.

Some experts are saying it won't be pretty based on the recent performance of the stock market.

Yes, there was a sizable gain in the Dow Friday, Jan. 4, but the stock markets were definitely down by the end of December.

The S&P 500 was down 6.2 percent at the end of the year — the steepest declines in the fourth quarter, the New York Times said.

Should you cash out? It's understandable to think about it, but it's a bad idea, Neil Irwin, senior economics correspondent, wrote in the Times.

"The sensible response to this unnerving series of developments is to do pretty much anything else. Read a book. Go for a walk, Take up knitting. Or just do nothing at all, like take a nap," Irwin said.

These are volatile times, Rory McCowan of First Discount Brokerage in Los Altos, California, said in a Patch article.

His advice for investors is to "stay nimble" and remember that the market reacts to uncertainty.

"So when U.S. President Donald Trump as the leader of the free world spews something on one day and counters it on the next day the market as the business barometer for our capitalist society becomes topsy turvy at critical times," McCowan said.

Which brings us back to doing pretty much anything else.

Irwin in the Times said money tied up in the stock market should be thought of long term, so what's gone on over the past few months "isn't something that should cause panic."

What are your thoughts? Are you staying put with your retirement savings or do you have other plans? Vote in our highly-unscientific poll and tell us your reason in the comments.

Photo credit: Courtesy of Tim Lee.