[quote=scaredyclassic][quote=ltsddd][quote=Coronita]Unemployment numbers keeps going up, but surprisingly don’t see equity markets further tanking. Porque?[/quote]
Many factors. There’s one that people tend to overlook. The selling was fast and furious that took out a lot of the weak hands – the lemmings, the johnny comes lately, the overly extended joes and the living on the margins janes. I think that phase of selling in Mar and the buying afterwards reestablish the new bases for stocks that is now already factor in the virus, vaccines, unemployment, etc. The stock market seems to have a positive bias towards any good news about the virus vs the bad news.
That said, the indexes are up about 30% from the lows on Mar 23. I would expect people to look for an exit point to lock in their profits at some point. Personally, I plan to liquidate some of my holdings and park it in cash today.
edit:
BTW., the nasdaq is positive for the year. The rally was broad.[/quote]
Because none of it is directly tied to reality.[/quote]
Sadly, you’re correct. But then we have crossed that line many, many moons ago. We all have to adapt and just go with the flow.
BTW., the unemployment numbers are over-inflated. How many teenagers do you know that barely worked for a handful of hours at a boba shop before all this and now getting a windfall of ~$1000/week for unemployment? Shoot, I know of at least a few.
