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https://en.wikipedia.org/wiki/Economic_indicator https://en.wikipedia.org/wiki/Economic_indicator Housing starts will predict the future of the economy. Inve
by ryacko 7y ago
https://en.wikipedia.org/wiki/Economic_indicator https://en.wikipedia.org/wiki/Economic_indicator
Housing starts will predict the future of the economy. Inverted yields will predict the future of the market.
- hash872 7y agoAlmost by definition (if this is true, and I'm sure it's way way way more complicated than a simple rule of thumb), the market would have priced this in already. Or do you think that you're in possession of a secret, which has its own Wikipedia page, that the PhDs with supercomputers on Wall Street were unaware of? If so, congratulations, you are free to make billions in the markets by exploiting your superior knowledge which the Street cannot match. I am a little bit familiar with the inverted yield curve thing, and it is certainly much more complex- including that rules that governed the economy in the past may no longer apply
- ryacko 7y agoIt isn’t that complex, most of those economic indicators show the forward looking expectations of major firms. Or in other words, the future of the economy can be seen by the decisions Wall Street has already made. The real money is, as always, in insider trading on short-term purchases. Still, one could beat the stock index if one factored in economic cycles.