Stocks and bonds both get clobbered this time. Here's what's behind the double whammy
Stocks are down more than 20% this year. Usually when that happens bonds hold their value. But right now both are down sharply, hurting retirees and people saving for college in 529 plans.
Deborah McDaniel is a retiree who has her life savings in a mix of both stocks and bonds, which she thought was a responsible, safe approach.
But her portfolio got "hammered," she says. "Down about...25% over the last 18 months."
McDaniel's not alone. So far this year, the S&P 500 stock index is down 23%. When stocks fall, bonds usually hold their value or even see it rise. But not this time. Bond market index funds are down about 15% over the past year.
All that's brought the value of McDaniel's retirement
