The 2008 financial crisis melted people's minds...
The U.S. housing bubble had burst. Borrowers defaulted on subprime mortgages. And losses rippled across the entire global banking system.
Folks didn't know who owned what. Risks were hidden and poorly understood. No one wanted to own anything.
So everyone sold. And the market crash turned into a full-on panic.
Then stocks bottomed. The S&P 500 Index dropped 57% from October 2007 to March 2009. After that, they turned around. But many investors doubted the recovery.
Every shake-up felt like impending doom. Every pullback was a sign the next crisis was here. Every time leverage climbed higher or credit spreads got shaky, timid investors cried contagion.
And that fear – along with the rise of the Internet – amplified many new voices warning about a coming collapse.
Permabears and doomsayers have always existed in financial media, of course. But they had a much more receptive audience after 2008.
These investors stayed on the sidelines for years and missed out on one of the fastest market recoveries in history.
Nearly 20 years later, I still often think about the great financial crisis.
Those times teach so many lessons... and have led so many to make huge mistakes.
We've had countless crashes that many pundits trumpeted would be the next market panic... And they've all fizzled out.
In 2018, some funds based on volatility futures blew up. Folks feared that "Volmageddon" would tank the whole market. Instead, losses were concentrated among folks who'd bought these ill-conceived funds.
Two years later, the COVID-19 pandemic emptied out commercial office buildings. The real estate sector took losses, but that didn't lead to a new crisis, either.
When Silicon Valley Bank and several of its regional peers collapsed in March 2023 due to rising interest rates, bears expected the bank runs to spread through the entire financial sector. But the storm passed.
It's the same pattern, again and again: Fear spikes, headlines amplify investor worries... and yet, we never see a full-on panic.
Markets are resilient. The system can handle losses.
Better still, without a panic... a crash is an opportunity.
A central tenet of investing is to "buy when others are fearful."
Right now, even as stocks regularly hit new highs, there's a clear underlying sense of fear. Look at what happened earlier this week as tech stocks fell – driven by concerns over AI spending – and dragged the overall market down with them.
While investors are edgy about an AI bubble, it's not the only source of fear in the market. We still haven't seen a definitive end to the war with Iran. And government debt is soaring. It's clear our financial system is under terrible strain.
I don't see the markets plunging into full-on panic anytime soon. But I understand folks who are asking me how to protect their wealth against corrections and against a dangerous wealth killer...
Inflation.
That's why the U.S. Treasury is under pressure to combat these problems before they get worse.
My friend and colleague Dan Ferris believes that the new head of the Treasury could be about to spearhead a trillion-dollar market reset. For folks who are ready, and who invest in the right sector of the market, this could launch "the biggest trade of all time."
If fear has kept you from putting your money to work, don't miss this opportunity.
Now, let's get to this week's Q&A... And as always, keep sending your comments, questions, and topic suggestions to feedback@healthandwealthbulletin.com. My team and I read every e-mail.
How to Pick Clothes for Sun Protection
Q: Dear Dr. Eifrig: I am reading more on different fabrics for sun protection, and it appears that certain synthetic materials made usually of polyester and/or nylon and perhaps some bamboo mixed in advertise that the fabrics are SPF rated at 50.
In my web research, I am informed that cotton shirts do not offer much sun protection – typically around SPF 7. I have the same concern with hats. I suspect a lot depends on how tight the weave is, but I would love your opinion. – T.K.
A: When folks automatically reach for a tube of sunscreen, they might not think about their clothes providing built-in sun protection. But as your question addresses, T.K., the right clothing can be a great sunblock.
I like to cover up with a lightweight long-sleeved top. As you pointed out, the weave matters. Fabrics with denser weaves – like denim – and synthetic fabrics often do a better job of protecting your skin against the sun than lighter, natural fabrics, like linen and 100% cotton.
Some clothes specifically have an ultraviolet protection factor ("UPF") of 50. That means the fabric will let through less than one-fiftieth, or 2%, of UV radiation.
Lots of outdoors companies offer plenty of clothing options with a UPF of 50 or higher. One of my researchers likes options from Columbia Sportswear, Patagonia, and REI. The Skin Cancer Foundation has a list of clothes with its "Seal of Recommendation" for sun protection, which you can browse here.
I also recommend protecting your head with a sun hat – particularly a wide-brimmed one. That helps protect the sensitive parts of your face, ears, and neck. And, like with your clothing, look for hats with a UPF of at least 50.
And as an eye doctor, I recommend that you... always, always, always wear sunglasses. Over time, sun exposure promotes the development of macular degeneration or cataracts. Be sure to get sunglasses labeled "UV400" or "100% UVA/UVB." Unsure whether you're protected? Have your optician or ophthalmologist test your pair.
Another overlooked way to protect yourself is timing. I recommend avoiding too much outdoor activity at high-UV times of day... typically between 10 a.m. and 4 p.m. (depending on the time of year).
Finally, if you're out in the sun with exposed skin, it's time to slather on the sunscreen. I suggest mineral sunscreens with zinc oxide or titanium dioxide that sit on your skin to block rays (as opposed to "chemical filters" that work by penetrating your skin).
What We're Reading...
- Did you miss it? Don't miss gold's next rally.
- Something different: Where to find the colors your screen can't show you.
Here's to our health, wealth, and a great retirement,
Dr. David Eifrig and the Health & Wealth Bulletin Research Team
June 26, 2026