A. It's nature for ordinary investors to be in panic mode when seeing the Dow drops more than 1,000 points in one day. However, here I like the words of Warren Buffett from his recent letter to Berkshire Hathaway shareholders:
“During such scary periods, you should never forget two things: First, widespread fear is your friend as an investor, because it serves up bargain purchases. Second, personal fear is your enemy. It will also be unwarranted.”
I believe the Sage of Omaha is spot-on.