General Discussion
In reply to the discussion: When a Trump cultist points to the stock market [View all]onenote
(42,702 posts)When most people look to see how the market is doing, they focus on how many points it has increased or decreased. Not surprisingly, since given the choice between having the value of their portfolio increase by 2654 or by 6244, most people will choose the latter without the slightest regard to the percentage increase each represents.
To put it another way: If someone making $50,000/year gets a $7500 raise (15%) in year one and the next year they get an $8000 raise, they are going to be happy because they have more additional $$ in their pockets after the second raise than they did after the first one, even though the second raise represented a smaller percentage increase (14%).
And very few people pay attention to the S&P as compared to the Dow Jones.