What in the world is up with the stock market

[Calculating]

It's just rocketing up in a straight vertical line like none of the big problems are real. Valuations on certain companies like Tesla and zoom have gone into the realm of loony toons level craziness. Zoom is valued higher than Boeing? Really? We're headed to fresh all-time highs daily in the middle of the worst economic conditions we've never seen. I'm convinced that chairman Powell is a traitor doing whatever it takes to reelect Trump regardless if the future.

[sfstaxprep]

1. It's A BIG Reason The Polls Are Even Somewhat Close

If Drumpf wins, the stock market will be a huge reason why.

[Calculating]

3. Seriously

It's the only thing he has left. I'm honestly getting scared worrying about how high he's going to have Powell pump it up, and what the long term consequences will be. Dow 35k is a real possibility by the election at this rate.

[elleng]

2. I have no idea.

S&P 500
+1.54%
Dow
+1.59%
Nasdaq
+0.98%


Mebbe?
States Should Prepare for Possible Virus Vaccine by November, C.D.C. Says.

https://www.nytimes.com/2020/09/02/world/covid-19-coronavirus.html?

A Minnesota man is the first person known to have died of Covid-19 after attending the Sturgis Motorcycle Rally. Silvio Berlusconi, Italy’s former prime minister, tested positive for the virus.

RIGHT NOW The University of Southern Carolina has reported more than 1,000 students who have tested positive for the virus and are currently active cases.

[2naSalit]

4. It's a strategic move...

Using that half trillion $$ mnuchin gave them to prop up the market for the election.

[CrispyQ]

9. This.

Also, too many Americans judge the economy by the DOW and not how far their dollar goes at the grocery store.

[2naSalit]

10. Exactly.

[wishstar]

5. There is unprecedented liquidity (virtually free cash made available from Fed) into markets

where corporations including Apple and others not hurting from Covid could receive huge loans at close to zero interest in form of individual corporate bonds bought by Federal Reserve to help capital markets. Plus all the stimulus relief billions to bail out businesses.

Since Fed reduced interest to zero, only stocks with their dividends provide any chance whatsoever for investors to earn any return on their money causing stocks to be propped up more than ever in history.

[Yavin4]

6. Let's say you ran a business which wasn't doing so well.

But, no worries, your daddy came in and paid off your monthly bills. Every month like clockwork. Voila. Your business would be booming.

[Dem2]

7. There are a lot of market analysts who are confused

I'm not going to assume this will last, but I'm using this time to move money from loser funds to those which have better adapted (and upped more conservative holdings.)

[samnsara]

20. we are doing the same thing.. skimming a bunch off and putting into bonds

...we have a Fidelity acct and unlimited free trades.

[genxlib]

8. In fairness

I think Boeing has some serious issues.

They have a significant reputation problem trying to sell planes into a devastated aviation industry.

Luckily they still have the defense department.

[a kennedy]

11. AND I JUST HATE HOW THE ORANGE PIECE OF SHIT KEEPS SAYING HOW GREAT THE 401'S

are doing.........most folks DON’T HAVE A 401 retirement account.

[former9thward]

26. It depends on what you define as "most".

The workforce is 165 million people. 32% have 401ks. That is 53 million people. People who work vote in far higher percentage than people that do not. You need about 65 million votes or so to win. So what is "most" in terms of voters?

[a kennedy]

29. Wow, that many have 401K's?? My mistake.

[bluestarone]

30. You think RUMP (and all his billionaires) could be setting

Joe up for a HUGE CRASH when he's elected? Would not surprise me!

[vercetti2021]

12. The stock market is not the economy

It doesn't effect me or anyone

[dixiechiken1]

16. This ☝️☝️☝️

This needs to be called out EVERY TIME someone equates the stock market with the economy. Small businesses represent about half of the private sector economy but do not represent - nor are they represented by - the stock market. Only about 1 in 3 work for a publicly traded company. So... how many small businesses have shuttered and how many people have lost their jobs since COVID hit our shores? THAT is the economy and THAT affects us all.

[ProfessorGAC]

13. Fed Money

Fed is buying low yield corporate bonds.
This provides expansion capital and reduces or eliminates short term line of credit borrowing for cash flow stabilization.
They maintain their cash on hand position, leaves their external investment portfolio, lowers debt service by using bond money to pay down higher priced debt, while provided expansion dollars.
Analysts love all those elements, so they bet the future.
This does suggest that since the market has been propped up with a couple trillion dollars, the indexes are now overvalued.

[sarcasmo]

14. 35 percent of the market is owned by foreign investors.

https://www.washingtonpost.com/news/politics/wp/2017/10/24/the-asterisk-that-accompanies-the-gains-in-the-stock-market-a-third-of-the-shares-are-owned-by-foreigners/

[Vinca]

15. In a way the stock market is so good because everything else is so bad the Fed has been

injecting money for months to keep it in high gear.

[doc03]

17. No place else to park your money. I took $22000 out

in March to buy a new car I have gained it back on paper for now. I should gone for the Lincoln SUV.

[samnsara]

19. same here.. we bought a new tractor last month and got all the $$ back..

[samnsara]

18. hubby comes in grinning...guess what the stock market is doing!

... but how many of trumps base buys stocks?

no matter how much we are making...its blood money.

[GeorgeGist]

21. Idiocracy is here ...

my friend.

[doc03]

22. My neighbor, a Trump supporter bases his vote

entirely on the stock market. He even admitted he liked Obama because he made money in the market when he was president.

[llmart]

23. Because I clicked on your thread...

I decided to look at my IRA and jeebus! I can't believe how much it's worth today. I should be excited but actually this doesn't bode well at all. It has to be artificially manipulated in some way because looking around and seeing all the stores closing and bankruptcies is not indicative of a booming stockmarket.

It's the only thing the idiot has left to crow about and he's going to get his henchmen to manipulate up to November 3rd. If he crows about it enough, some people on the fence will buy into it. I remember a piece Judy Woodruff did back in his early days where she interviewed people about why they voted for him and one youngish man said he kids' college funds were doing excellent because of trump.

[radius777]

24. Market being artifically pumped while regular people beg for help.

That's the real scandal here, the big corps getting bailed out again while regular folk get shit on.

Unfortunately many regular people don't get this, that the stock market and the economy is not the same thing.

Dems are missing this as an issue, and how to frame it - we can't let Trump (who inherited Obama's economy) beat us on the economy.

The past two Dem presidents ushered in great economies while the last two Repub presidents were terrible.

[crickets]

28. Bingo. nt

[smirkymonkey]

25. No kidding!

I just checked our company stock price, where I have a lot of my retirement money parked in profit sharing, and it has skyrocketed. It's at an all-time high! My 401K $$ is much more conservatively invested. It still isn't going to turn me into a republican and I still don't trust it.

It's not like we are seeing massive hiring or any of that wealth trickling down to the average worker.

[Generic Brad]

27. Most stocks are overvalued

When the Trump administration stops artificially propping it up I expect the DOW to drop around 50% and wipe out all that wealth (You just know the GOPers will short everything in the hopes of cleaning up while most of us are plunged into permanent financial distress).

I'm holding my fire. I'm sitting on a wad of cash and have my 401k moved into the lowest risk option available. When the market finally plunges off the cliff, I will be lying in wait ready to jump in. And if I'm wrong, I still have my wad of cash and am no worse for the wear.