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lol, when did the stock market reflect the fundamentals? Its post 2020, the whole economy had come to a standstill and the market was rallying like nothing happ
by dmingod666 6y ago
lol, when did the stock market reflect the fundamentals? Its post 2020, the whole economy had come to a standstill and the market was rallying like nothing happened. All this 'fundamentals' talk just sounds hollow.
- fock 6y agoit is. the whole market is overvalued. But while some parts of the market have some actual things, people want (highly educated workforce, machinery, land, supply chains...) Gamestop has nothing of this and yet is pushed to an even higher value.
- xadhominemx 6y agoThe market rallied because it accurately predicted there would be a strong economic recovery in 2021/2022.
- dwater 6y agoThat is not true, it hasn't accurately predicted anything. 96% of 2021 and 2022 haven't happened yet.
- chii 6y agoThat's why it's called a prediction, and not a record. The market prediction doesn't mean it's going to happen - but it's likely. If the market prediction turns out to be wrong, then there'd be a correction in price (aka, another crash).
- dwater 6y agoSure, and in order to determine if a prediction is correct or incorrect, you have to wait for the event to occur. To make the above statement true you would have to either remove the word "accurately" or wait until the end of 2022.
- Enginerrrd 6y agoYeah, tell me the P/E ratios everywhere else in the market right now are rational from a fundamentals perspective and I'll call you either deluded or a liar.
- medium_burrito 6y agoBy "fundamentals", you mean the government buying corporate bonds and money printer go "brrrr"? Seriously, we Japan now.
- bluGill 6y agoOver any 20 year period the market has always reflected the fundamentals. However over any few months period it has always been a popularity contest. Note that fundamentals include things like bonds and government manipulation.