Deja Vue all over again. This time it was European election results which sent the financial media into another firestorm about the end of the Euro-zone, the end of the global economic recovery, and the end of the stock market.

Jim Paulsen, Ph.D is Wells Capital Management's chief investment strategist and has been commenting on global economics for the past 25 years.  Here are excerpts from a recent commentary about the Eurozone problems.

"Each time scary European news emerges (often just a rumor, innuendo, or someone simply describing their worst nightmare), the stock market declines and investors are told the eEuro zone is going to blow up and end the recovery....European news hits and the stock market drops only to recover and eventually rise to new recovery highs."

When the Eurozone crisis made its first appearance in January 2010, the S&P 500 was trading at 1100.  Today the S&P 500 is trading in range of 1300.  This is an annualized return of over 8% despite all the bad news in Europe.  There is no denying that it has been a rough ride but investors who stuck with their discipline have been rewarded with acceptable returns.

We like Jim's advice: "The European crisis will likely be with us for many years and every investor should remain diversified and expect to weather bumps in the road, but do not miss the ongoing economic and stock market recovery in the US ...." 

For Paulsen's complete commentary click here