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Economy

Laelth

(32,017 posts)

7. Capitalists have a ton of money.

Reply to RazzleCat (Original post)

Mon Aug 10, 2020, 05:31 PM

Aug 2020

They have to put it somewhere. The markets look like the best bet to them right now, even if the fundamentals are weak. What else are they going to do with their cash? They can’t eat it, so they invest it. The people may be poor, but our capitalists are not. They have nothing better to do with their cash than to buy stocks.

-Laelth

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I am so confused, I get the market and the economy are different [View all] RazzleCat Aug 2020 OP

My tinfoil hat theory.. cilla4progress Aug 2020 #1

Well, one thing no one has mentioned is that the Market is looking forward to a big Biden victory. Hoyt Aug 2020 #2

Answer: $6 Trillion Bailout OneBro Aug 2020 #3

Look at the composition of the indexes Abnredleg Aug 2020 #4

The strong Dow seems to be mainly a handful of stocks, as I understand it. PoindexterOglethorpe Aug 2020 #5

I have taken some out, the rest RazzleCat Aug 2020 #13

Sounds like you're doing it the right way. PoindexterOglethorpe Aug 2020 #14

The Market is a rich person's game. iemitsu Aug 2020 #6

Which is why I "piggyback" on the market. Rich people's interests always prevail. Midnight Writer Aug 2020 #8

Seems that way, doesn't it. iemitsu Aug 2020 #12

If you think of it that way, if you think the only thing to do is to "play" PoindexterOglethorpe Aug 2020 #15

Capitalists have a ton of money. Laelth Aug 2020 #7

Personal income was up 7.3% in the 2nd quarter, and up 10.1% over Q2 2019 progree Aug 2020 #9

There is no place else to put money. Banks and bonds doc03 Aug 2020 #10

The market always eventually comes back, umm, it took 16 years for the Dow to get back to progree Aug 2020 #11

Here's a link to an interesting article about the Dow 1966-1982. PoindexterOglethorpe Aug 2020 #16

Most people don't own the entire market. They own individual stocks and/or several mutual progree Aug 2020 #17

The market has not nose dived yet because there is no reason for it to nose dive. PoindexterOglethorpe Aug 2020 #18

The market did dive: the S&P 500 declined 33.9% from February 19 to March 23 progree Aug 2020 #19