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I feel as though the "stock market" following the 2008 crisis has become further insulated from the larger economies fundamentals. wages can continue to not kee
by mathiasben 9y ago
I feel as though the "stock market" following the 2008 crisis has become further insulated from the larger economies fundamentals. wages can continue to not keep up with inflation, savings rate continues it's downward slide, household debt service payments consume an ever increasing slice of disposable income, etc... all the while the type of dramatic dislocation event similar to 1929, 1987 are unlikely to occur. the market "circuit breakers" ensure any crash is a slow moving trend and not a single calamitous event.
- mathiasben 9y agothe stock market is so divorced from the actual economy that over half of Americans don't participate in any way at all whether through direct purchase, 401k, mutual funds, etc.. most of the action on the stock markets is companies rebuying their stock to generate earnings and hedge funds and the less than half of Americans who have access to retirement planning.
- vkou 9y agoWhat percentage of Americans have historically participated in ownership of capital?
- notfromhere 9y agoGiven that like 75% of corporate profits are used for share buyback schemes, stock market is a rigged shell game.