I can't agree more. I think its actually harmfull to try to learn "why". If the markets are like a car then they have a billion parts and your never going to understand how it all fits togather. Your never even going to understand 10% of "why" and if anything it will bias you in the wrong direction.
I can't find the video but someone asked Buffet this and his response was that if the DOW was to repeat its performance from the last century it would have to go to 2 million so yes, the markets will go higher.
thread starter: Anyone know what REALLY causes these big moves? I mean, why so many people all of a sudden are buying on the dow? ========================================== The latest move, if this is what you are refering to, was caused by a breakout to the upside of a symmetrical triangle. The 4th candle from the right shows the day the breakout occured. Always easier to see in hindsight though. -Stephen
That's a boy! Back in action with classic stupid lines. You're like a little mini Dan Quayle! GO turder GO!
^ But he's right though (on this one occasion only). Increased monetary supply + government lies about CPI = Inflated stock market (and every other asset).
It's the poster child for the Republican party. Come fall of 08 it will be near 16,000, our nation will be futher in debt, our currency will be near worthless, after you factor that in it's will be a net gain of ZERO, but hey the Dow is soaring wink wink.
It's pretty simple. Some of your VERY LARGE multi-national companies are in the Dow Jones Industrial Average . . . Names like IBM, MMM, Alcoa, Caterpillar, Dupont, Exxon-Mobil, etc. They have ALL been benefitting off of the WEAK DOLLAR. As it is, 44% of the S&P 500 gets its sales revenue from outside of the United States. This has nothing to do with "emotions and loans" as you state, and everything to do with growing earnings. This is basic Econ. 101A.