Should I keep investing my 401(k) in this current environment?
Short answer: YES
Learn more: If you have a well-diversified asset allocation in quality Mutual Funds then stay with your financial plan. The tendency in the current financial environment is to lower or stop making retirement plan contributions - this is a mistake. Every time you make a contribution you are buying your mutual funds at a lower price, so your potential is greater for realizing higher profits down the road. This is called dollar cost averaging.