President Donald Trump's travel ban impacting Europe "solidified some of the fears" that the U.S. or global economy will soon hit a "pause button," KKM Financial's Jeff Kilburg said on CNBC's "Worldwide Exchange" Thursday.
The "velocity" of the market decline, which picked up momentum before U.S. stocks opened, could soon translate to an attractive opportunity, Kilburg said. The U.S. government is expected to follow up Trump's address with a "robust" fiscal stimulus offering and a 75-basis-point cut by the Federal Reserve next Wednesday, he said.
'Buy What You Know,' Kilburg Says
The "time to buy stocks" is when the Volatility Index (VIX) is "at 60 — not when the VIX is at 16," Kilburg said.
Investors should be selective and "buy what you know" and "buy what you use," he said, adding that from a historical perspective, the VIX rarely trades above 60 for a long period of time.
Kilburg: Action Needed From Washington
Investors need to stick to a "game plan" and avoid getting spooked and scared, Kilburg said.
The market selloff represents an opportunity that should be embraced by investors, he said.
The market could see a large-scale change in sentiment over the next few days, but only if Washington "brings its A-game," Kilburg said, adding that the worst thing politicians could do is exit the weekend with a new round of concerns.
President Donald Trump during a televised national address from the Oval Office Wednesday regarding the coronavirus outbreak. White House photo by Joyce Boghosian.