The volatility of the stock market in recent months, from one day to the next, indicates to me that people are overreacting to information that is received on a daily basis to such a degree that they make impulsive buying and selling decisions that have little to do with the long-term financial reality they are facing. The same is true of people in general. We tend to behave in similar impulsive ways in our lives, our careers and our relationships. We act first and then later think about what we did, rather than taking the time to think first, to look at the bigger picture, to look at all the implications and possible consequences of our actions.

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