Quote:
Originally Posted by JDJarvis
The stock market has been "rebounding" since april, yet unemployment has been rising.
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Exactly. My point was that the markets are a superficial economic indicator. They tell you next to nothing about the health of the economy. Total unemployment is a far better indicator. The stock market is only useful for promoting consumer confidence within the general public, it is near useless for any other task.
I would contend that we're looking at a pretty severe distortion when we look at the current stock markets. I mean, it took how long to go from 6000 to 10000 on the DOW the first time? About four years? And it was done with a housing bubble forming in the late 90's? No way it's recovered 4000 points legitimately in under a year. We
might be as high as 7200 legitimately.
Although I did laugh really hard when my friend told me that the market was "over 9000", so I guess that might be worth the drop and the ensuing misery for the chuckle.