Many or all companies we feature compensate us. Compensation and editorial research influence how products appear on a page. Personal Finance Is Now a Good Time to Buy Stocks? What to Know About Stock Investments in June 2025 Updated Jun 18, 2025 10-min read Written by Anna Twitto Written by Anna Twitto Expertise: Personal loans, debt, insurance, precious metals, home equity Anna has almost a decade of experience writing in the personal finance niche. Motivated by her own history of overcoming financial struggles, Anna shares down-to-earth advice for fighting debt and achieving financial security. Learn more about Anna Twitto With high interest rates and uncertainty in global markets, you may ask, “Is now a good time to buy stocks?” Despite present economic volatility, the answer is “yes” for many investors—depending on their financial goals, investment strategy, and risk tolerance. Even when the future looks uncertain, investing in stocks can be a smart move. If you’re ready to grab opportunities and ride out the potential lows, stocks typically deliver a decent return over time. Let’s explore what current trends mean for investors and how to decide whether buying stocks is the right choice for you. Table of Contents Why invest in stocks? Short-term vs. long-term goals The current state of the stock market How to know if it’s a good time to buy stocks When it might be a good idea When it might not be a good idea Should you invest in stocks right now? Where to seek guidance on investing in stocks Alternative investments Bottom line Why invest in stocks? Stocks represent ownership shares. When you buy stocks, you basically purchase a piece of a company. If the company appreciates in value over time, so do your stocks. Holding stocks may also entitle you to dividends, i.e., a portion of the profits (depending on the company’s dividend policy). Historically, stock investment has been one of the most powerful ways to grow wealth, outpacing other assets, like bonds. However, investing in stocks can be a risky game. The stock market has plummeted at many points throughout history, including the Black Monday of 2011 and the worldwide crash of 2020 associated with the COVID-19 pandemic. Short-term vs. long-term goals Stocks aren’t a get rich quick scheme. If you’re lucky enough to invest early in a new, fast-growing company, you could potentially make a lot of money quickly. Some investors who bought Tesla or Nvidia stocks before those companies ballooned had made fortunes. Still, these are the exception, not the rule. It’s practically impossible to predict which startups will take off and which will fizzle out. Rather than chase fast gains, you should view stocks as a long-term investment. Stocks offer steady returns over time if you ride out crashes and stick around for multi-year growth curves. This makes stocks a powerful choice for retirement or generational investment. The current state of the stock market As of June 2025, the U.S. stock market is experiencing high volatility rooted in global tensions. While the stock market has not crashed yet, it experienced a sharp dip in April following Liberation Day tariffs. On April 2, 2025, President Donald Trump introduced a minimum tariff of 10% on all goods imported to the United States, affecting trade partners worldwide. These tariffs elevated business costs, bumped up consumer prices, and effectively triggered an international trade conflict. Here’s why the new tariffs had such a detrimental effect on the stock market: With a higher tax on all goods entering the U.S., importing materials and products instantly became much more expensive for many American companies. This raised operating costs for many businesses relying on global suppliers. Higher costs equals lower profits, which is a major turnoff for investors. Thus, when a company’s prospective gains drop, so do its stock prices. Moreover, the European Union, Canada, and China have announced their own tariffs on U.S. imports in retaliation against Trump’s policy. These chaotic developments caused a crisis in the stock market. In May 2025, stocks showed signs of recovery, stemming partly from Trump’s softening the tariff policies (excluding China). Overall, despite the current uncertainty of international trade, the stock market looks resilient. How to know if it’s a good time to buy stocks While the stock market is often unpredictable, you can (and should!) make an informed decision when buying stocks, based on your wealth-building goals and financial preparedness. When investing in stocks might be a good idea Today’s platforms and resources make it easier than ever to start investing in stocks, even with modest funds. Purchasing stocks might be the right choice for you if the following is true: ✅ You find an affordable, promising stock Did you spot an opportunity, whether it’s an emerging company or an established business during a downturn? Investing might be a good idea if: The stocks are within your investment budget The company has a strong basis, e.g., competitive advantages, long-term potential, and skilled leadership The investment aligns with your risk tolerance: Losing the sum you’ve put in won’t devastate your finances Just make sure you decide to buy stocks based on solid research, not hype or fear of missing out (FOMO). ✅ Investing in stocks aligns with your investment portfolio goals How does buying stocks fit into your overall finances? Ask yourself: Do you have a robust, diverse investment portfolio that doesn’t already lean too heavily toward a certain type of stocks? Do you have a cushion fund for emergencies, preferably covering at least three months of living expenses? If you can check these boxes, stocks can reinforce your portfolio. While stocks tend to perform better than other assets long-term, they can also be volatile. That’s why you need a financial safety net before you invest in stocks. ✅ You’re ready to play the long game You need patience to make profits in the stock market. Stocks can fluctuate, markets may dip or even crash, but statistically, stocks tend to recover and move up. If you stick to your investment and avoid panic-driven decisions, you’ll have a much better chance of gaining from the overall upward trend, even if you invest during turbulent times. Before you put money into stocks, make sure you won’t need it anytime soon. If you can leave your funds invested for at least five years before cashing out, you’re far likelier to see returns. When it might not be a good idea to invest in stocks Buying stocks might not be the best choice if: You lack an emergency fund Struggle with high-interest debt Expect to need the money you’d invest in a year or two When you’re financially unstable, you’re more vulnerable to market fluctuations and may find yourself forced to sell stocks at a loss just to cover immediate expenses like medical bills or home repairs. Likewise, you’d be setting yourself up for failure if you try to time the stock market for a quick profit. Stocks are for steady investors with a long-term outlook. Should you invest in stocks right now? With sharp swings in the stock market and concerns about a possible recession, you may wonder whether you should buy stocks right now or wait for more stable times. While there’s no one-size-fits-all answer, you should definitely consider the current economic and political climate when building your investment portfolio. The market is volatile: Invest with caution Today, investors face murky prospects. Shifting interest rates, a turbulent market, and upheavals like the recent tariffs make the future look uncertain for many companies, from automotive giants to the retail sector. Does this mean buying stocks is off the table? No, but it’s extra important to focus on strong companies and brace yourself for the long haul. A conservative strategy focused on diverse, long-term stock holdings can help stabilize your portfolio. Now isn’t the time for speculative bets or staking your rent money hoping for a quick payoff. Recession-safe investments include defensive stocks, which are usually less vulnerable to market fluctuations. Falling stock prices can create opportunities On the other hand, a stock market low can also be an opportunity. Consider it the Mega Clearance sale of stocks you couldn’t have afforded otherwise. Many strong companies’ stocks crash during an economic downturn but rebound big time later. For example, Tesla’s stock prices dropped from 57.2 in February 2020 to 28.5 in March of the same year, a dip of about 50%. However, with the growing enthusiasm for electric vehicles, the stock soon bounced back and traded around 220 by the end of 2020. Of course, not every falling stock will recover. Look into companies with a track record of strong performance, flexibility, and adaptability. Where to seek guidance on investing in stocks If you’re a new investor, we strongly recommend consulting a professional before you pour any significant funds into the stock market. A competent advisor can evaluate your financial picture, assess your risk tolerance, and help you avoid needless risks when making investment decisions. Work with a professional who is a fiduciary, i.e., legally committed to your best interests. Look for credentials like a Certified Financial Planner (CFP) or a Registered Investment Advisor (RIA). The latter refers to professional firms that help clients manage their finances. You can search for a fiduciary financial planner on napfa.org. When you evaluate financial planners, ask: What are your licenses and qualifications? Do you have experience with stock investing? What’s your approach to building stock portfolios? What’s your fee structure (flat, hourly, etc.)? Also check out the advisor’s online reviews to find out what past clients say about working with this professional. You might also consider a financial advising service like MoneyPickle, which matches you with an advisor for a free 45-minute call. It’s a good way to get started if you haven’t worked with a financial advisor before. Alternative investments Finally, let’s mention a few other investment types that can balance out your portfolio. Gold, cryptocurrency, and other assets can add stability during uncertain times. Physical gold Often touted as the ultimate investment for extreme scenarios like dollar collapse, physical gold is a safe-haven asset that has remained a desirable commodity for millennia. Gold tends to appreciate steadily over time and peak during economic turmoil, and is thus considered a hedge against inflation. Keep in mind that gold doesn’t generate income and involves added storage costs. Shifting a significant part of your investments into gold bullion will reduce your overall returns. Gold IRAs If you want to reap tax benefits while investing in gold, consider a precious metals IRA. These self-directed IRAs allow you to hold gold-backed securities, like ETFs and mining stocks, in addition to bullion. Make sure to choose a reputable provider like American Hartford Gold or Advantage Gold. Cryptocurrency Bitcoin, ethereum, and other crypto coins are increasingly popular investment assets with a major growth potential. Crypto IRAs offer a tax-advantaged way to add crypto holdings to your portfolio. However, cryptocurrencies (even the widely accepted bitcoin) are susceptible to dramatic price swings. You should only invest as much as you can afford to lose. Bottom line: No time is better than now Despite alarming headlines and an uncertain economy, stocks remain a resilient asset that tends to reward long-term investors. Assuming you have the financial capacity and are ready to weather a bear market if your stocks head that way, now might be as good a time as ever to buy stocks. Remember: building wealth through stock investments is a marathon, not a sprint. Rather than chasing a hyped-up stock or trying to time the market, follow a consistent, steady plan that rides out the highs and lows.