Editorial: Stock market volatility affects everyone

The stock market has been unruly over the past week.

On April 2, President Donald Trump announced a broad swath of reciprocal tariffs on nations — and some uninhabited islands — around the world. On April 3, the Dow Jones Industrial Average fell 1,679 points. The Standard & Poor’s 500 dropped 4.8% and the Nasdaq plummeted 6%.

On April 4, they dropped more. The S&P 500 fell another 6%, the Nasdaq went down another 5.8% and the Dow Jones slid another 2,231 points. It was almost a relief when Monday’s numbers still dropped but by only 349 points for the Dow and just 0.2% for the S&P 500. The Nasdaq eked out a 0.1% increase. The market tried to rally Tuesday, only to stumble to further losses for all three numbers. The total losses were in the trillions.

On Wednesday, Trump took to social media to announce a pause to the tariffs. That prompted an absolute geyser of trading and a 2,962 point spike in the Dow. It was the largest single-day increase in the market. It still wasn’t enough to erase the four prior trading days.

For the ultra wealthy, it’s a hiccup. After several stunning losses, the five richest men in the world saw their portfolios rally Tuesday. They were up by $7.7 billion for No. 5 Warren Buffet to $25.3 billion for No. 1 Elon Musk, according to Forbes.

But what does it mean to the average American?

It can mean delayed retirement as many 401(k) accounts are experiencing shakeups. It could mean student loan debt or delayed college admissions, as some college funds like 529 accounts are seeing years of investment returns snuffed out.

What if you don’t have a retirement account? What if you haven’t been saving for college? Does that mean the markets don’t matter to you?

It should matter. You don’t need to have an investment account to be affected by the stock market and the way it is fluctuating like a flailing inflatable outside a car dealership.

According to Gallup, about 62% of Americans have some kind of investment, whether it’s individual stock ownership, a retirement account or some other fund.

But the other 38% are invested. They just don’t realize it.

Government invests. Nonprofits invest. Businesses invest. College endowments are invested with a surgical precision that keeps them flush for generations.

All of that affects people who think the market has nothing to do with them. The market affects building materials that hit projects in your communities. Ask the Hempfield Area School District board about the high school renovation project. Ask Pittsburgh International Airport about the $1 billion project that is now $1.7 billion.

Unpredictable, inconsistent markets make it impossible for organizations — public or private — to plan. How does a contractor bid for a project if he doesn’t have confidence on its costs? How does the state of Pennsylvania arrive at a budget when the costs of everything from oil to computers could change?

The problems roll downhill. They affect customers and residents. They affect school children and nursing homes.

You don’t need to invest in the stock market to be burned by its volatility.