- cross-posted to:
- politics@lemmy.world
- cross-posted to:
- politics@lemmy.world
Donald Trump announced new tariffs will take effect this weekend—sending the stock market crashing.
Donald Trump announced new tariffs will take effect this weekend—sending the stock market crashing.
Stock market is a load of bull anyway. Just a glorified casino based on socio-theoretical math
Companies can make record profits all the time but it will never trickle down to benefit normal people as long as they have a choice to keep it.
stock value is also strictly based on perceived value rather than real value. companies are incentivized to lie about their performance to inflate their stock value for their biggest shareholders
The lies would also happen if it was about the current value of the company.
But that it is about the perceived value or future value is simply a logical consequence: If you assume the company will be much better off in 2 years, you will buy those socks, just like everyone else. So it goes up without the company actually being any better.
They can’t lie about the dividends they paid out, and dividends are a big part of perceived value. To lots of people, they are the only important part.
look into how many “high value” stocks actually render dividends. dividends are an extremely minor part of these “financial markets”
More than half of the top ten companies by market cap do pay dividends: Apple, Microsoft, Nvidia, Meta, Broadcom, and Walmart.
Not all do, of course. That’s exactly why some of those “high value” stocks are probably in a bubble, and soon to become not so high value.
So are 401Ks but not many have a choice.
It’s has always seemed insane ro me that those of us lucky enough to have IRAs of any type, some with employer match, never move the stock market. Once or twice a month, millions of people add money to the stock market and there is no change. You’d think you could place index bets for it to go up when those hit the market, but their value has clearly been captured by day trading ahead of time. So stupid.
Most of those are in diverse packages, though. So yeah, millions of people add in once or twice a month, but it’s across tons of companies/industries. And it does move the market, but there’s also tens of trillions of dollars in the market so the amount moved isn’t super noticeable to anyone really but those that watch the market for a living.
well, making tons of money on the stock market isn’t even tied to making record profits, since it’s nothing really more than a popularity contest between rich hacks.