Market Prices

Discussion in 'Economics' started by chartman, Mar 12, 2009.

  1. Today once again reaffirmed that stock prices have no relationship to the economy. The market news today:
    (1) Retail sales down;
    (2)Worse than expected unemployment;
    (3)Continuing jobless claims increase worse than expected;
    (4)Business inventories declined;
    (5)Record decline in household net worth;
    (6)Lowering of GE credit rating.
    The major market indices all increased.
    Tomorrow when the market declines probably 200 plus
    points, the talking heads will be reporting the 'reasons'
    why prices declined on the economy.
    What a farce!
  2. are any of these things a suprise? the market looks ahead. in looking ahead it seizes on its latest data point as its indicator of where to go. the latest data points this week were better than expected. c,ge,retail sales news were not as bad as expected so that along with too many shorts caused a sharp bear market rally.