Re:Masayoshi Son had help pulling SoftBank from the brink
by edouard-harris on Thursday November 12, 2020 @08:57AM
(#25069856)
In this case, with interest rates near zero, it may be rational for markets to converge on prices that discount the transient effects of a pandemic recession.
[ Parent
| on HN ]
Re:Masayoshi Son had help pulling SoftBank from the brink
by H8crilA on Thursday November 12, 2020 @09:06AM
(#25069938)
Yup, exactly. Low yields increase the duration of equities. This also means that prices become more random (because who's to judge what will Google ads sales look like in 20 years? or what will the iDevice of the 2050 look like? with low enough yields things like these become more and more important).
Re:Masayoshi Son had help pulling SoftBank from the brink
by lotsofpulp on Thursday November 12, 2020 @12:45PM
(#25072398)
I don’t know what google’s ad sales or idevice will look like in 20 years, but I am betting the US government will do whatever it can to keep broad market equity index values rising.
Re:Masayoshi Son had help pulling SoftBank from the brink
by H8crilA on Thursday November 12, 2020 @02:14PM
(#25073647)
Just like the Chinese believe that the China government will keep their apartment prices high.
Re:Masayoshi Son had help pulling SoftBank from the brink
by lotsofpulp on Thursday November 12, 2020 @02:20PM
(#25073739)
Maybe, if all of China’s political leaders are invested in apartments.
Re:Masayoshi Son had help pulling SoftBank from the brink
by toomuchtodo on Thursday November 12, 2020 @09:39PM
(#25078191)
China’s political leaders are invested in avoiding their version of the French Revolution.