Re:U.S. Economy Shrinks at 4.8% Pace, Signaling Start of Rec...
by freeone3000 on Wednesday April 29, 2020 @09:45AM
(#23019067)
Stock market is essentially a sentiment graph. There's no need for it to be linked to any underlying useful metric - it's entirely likely people are investing in stocks simply because all other investments are worse.
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Re:U.S. Economy Shrinks at 4.8% Pace, Signaling Start of Rec...
by jariel on Wednesday April 29, 2020 @10:19AM
(#23019547)
Obviously sentiment is a factor, but there are a million analysts with very complicated and dense spreadsheets trying to include every single detail to come up with their forecasts. It's nut just instinct.
Re:U.S. Economy Shrinks at 4.8% Pace, Signaling Start of Rec...
by harryh on Wednesday April 29, 2020 @09:51AM
(#23019166)
This is true in the short run, but not in the long run.
Re:U.S. Economy Shrinks at 4.8% Pace, Signaling Start of Rec...
by eyeundersand on Wednesday April 29, 2020 @10:16AM
(#23019495)
"In the long run, we are all dead." ~Keynes
Re:U.S. Economy Shrinks at 4.8% Pace, Signaling Start of Rec...
by kyuudou on Wednesday April 29, 2020 @06:30PM
(#23025307)
Keynes, to my knowledge, never had children. The future for one's offspring definitely extends one's field of cares to give, in my opinion.
Re:U.S. Economy Shrinks at 4.8% Pace, Signaling Start of Rec...
by metalliqaz on Wednesday April 29, 2020 @10:13AM
(#23019453)
I think all you're saying is that eventually sentiment bends toward economic reality.
Re:U.S. Economy Shrinks at 4.8% Pace, Signaling Start of Rec...
by harryh on Wednesday April 29, 2020 @12:27PM
(#23021032)
No, I'm saying that eventually the value of a company is based on actual economic reality and not sentiment. Companies are either profitable or not. They either grow or not. In the end, share prices are based on these things, not just the whims of investors.
The stock market is not trading in baseball cards.