4 ms·

When you are inject 3-5 trillion dollars into the economy over the span of months, it takes a while for reality to catch up.

b40d-48b2-979e 6mo ago
idk, I read an analysis recently that retail investors in funds like the S&P500 are breaking how the stock market is "supposed" to work since people keep pumping the same money every month for retirement into the same 500 companies (or whatever an index is funding) without consequence to their actions, so they're never punished. Line goes up. The purchasing power of the masses outweighs the old brokerage class that decided which companies succeeded based on "real merits".
- AntiUSAbah 6mo ago
  Probably very true, very simplified. The best strategy then would be to know when the retirement fund money stops doing this due to age pyramid collapse i would assume.
  - bix6 6mo ago
    Aren’t we approximately there? The boomers are all starting to draw down for retirement.
    - WarmWash 6mo ago
      On paper the US is good for another 20yrs, boomers had lots of children and the US had very generous immigration policies.
- bix6 6mo ago
  Agreed but there is definitely sector rotation still that all the banks / insiders can play for an extra few points
- lotsofpulp 6mo ago
  >keep pumping the same money every month for retirement into the same 500 companies (or whatever an index is funding) without consequence to their actions, so they're never punished. When a buyer buys a stock, they are not giving money to the business. Als, businesses get removed from the SP500 all the time: https://www.bankrate.com/investing/s-p-500-stocks-list-of-additions/ https://www.bankrate.com/investing/s-p-500-stocks-list-of-ad... They generally have to perform (profit, profit margin, revenue growth, market share growth, political influence growth, etc), and the higher the performance, the more their shares are worth (obviously).
bix6 6mo ago
M2 is only up $1T in 7 months or am I missing something?

b40d-48b2-979e 6mo ago

idk, I read an analysis recently that retail investors in funds like the S&P500 are breaking how the stock market is "supposed" to work since people keep pumping the same money every month for retirement into the same 500 companies (or whatever an index is funding) without consequence to their actions, so they're never punished. Line goes up. The purchasing power of the masses outweighs the old brokerage class that decided which companies succeeded based on "real merits".

AntiUSAbah 6mo ago
Probably very true, very simplified. The best strategy then would be to know when the retirement fund money stops doing this due to age pyramid collapse i would assume.
- bix6 6mo ago
  Aren’t we approximately there? The boomers are all starting to draw down for retirement.
  - WarmWash 6mo ago
    On paper the US is good for another 20yrs, boomers had lots of children and the US had very generous immigration policies.
bix6 6mo ago
Agreed but there is definitely sector rotation still that all the banks / insiders can play for an extra few points
lotsofpulp 6mo ago
>keep pumping the same money every month for retirement into the same 500 companies (or whatever an index is funding) without consequence to their actions, so they're never punished. When a buyer buys a stock, they are not giving money to the business. Als, businesses get removed from the SP500 all the time: https://www.bankrate.com/investing/s-p-500-stocks-list-of-additions/ https://www.bankrate.com/investing/s-p-500-stocks-list-of-ad... They generally have to perform (profit, profit margin, revenue growth, market share growth, political influence growth, etc), and the higher the performance, the more their shares are worth (obviously).

bix6 6mo ago

M2 is only up $1T in 7 months or am I missing something?