(It doesn't, the stock market is extremely short-termist and tends to react to big changes long after they've already become obvious. In this case the market is likely reacting to recent "good" news about COVID-19 growth, and will be late in reacting to the upcoming recession.)https://twitter.com/cullenroche/status/1247387742599708673 …
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In some rare cases though, it does make it predictable. Like what happened in late February / early March, or what is happening today. When something predictable is coming that is so big that you know the market will have to adjust eventually (though you can't know when).
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“The market can stay irrational longer than you can stay solvent.” — John Maynard Keynes To a good extent, they are self-fulfilling prophecies, with stochastic eventual consistency Speculation (short, e.g. Soros) different from investment (long, e.g. Buffet), though
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