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There is only so many trillions to be invested in stocks (because, where else?), and they have already been invested. Stock markets have for so long had a total
by cblconfederate 6y ago
There is only so many trillions to be invested in stocks (because, where else?), and they have already been invested. Stock markets have for so long had a totally irrational relationship with day-to-day news, that they probably won't move the needle much.
- sf_rob 6y agoMarket cap is set by marginal prices, so supply of uninvested capital isn't super relevant and might even increase volatility due to lower liquidity.
- Wohlf 6y agoFirst and foremost, the stock market is not the economy. Second, stocks are primarily traded on their expected future value, not current profits, hence why companies like Tesla have a price to earnings ratio that is absurd.
- deleted 6y ago[deleted]
- puranjay 6y agoTesla's stock price makes zero sense in any plausible scenario. I understand the narrative, but unless Tesla becomes the only car company on the planet, it can't be worth 10x Ford
- NicoJuicy 6y agoRobin Hooders + solar energy + funds that buy Tesla after 4 x profit profitable quarters + China + ... Still doesn't explain the crazy valuation
- badrabbit 6y agoWhere else? Derivatives and commodities,bonds,etc...
- redtexture 6y agoThe bond market is many times bigger. There is much more that could come to the stock market.