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01-02-2019, 11:54 AM #1
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Technically you are correct, but not really. People invest based on how they think the market will move in the future. If enough people start to think the general business market will slow, they will slow down their activities, causing a slowdown. If people think Trump will somehow single-handedly wreck the economy, the damage will be done. Its more the thought of what Trump may do, rather than his own actions that would cause market disruptions.
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01-02-2019, 12:01 PM #2
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- Jan 2018
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That's a fair honest good point newunderwriter and its true but I don't think trading of the stock market dictates recessions. I think that recessions just have a large impact on how the stocks trade. Like lets say America decided to spend trillions of dollars on a fictional war on terror that can never be won because you can't beat "terror" and instead bled us dry of resources and pride in ourselves which caused us to collapse 10 years ago only to have our government decide to put a band-aid on the collapse hoping a miracle will happen before the band-aid falls off. That's not really reflective of what traders or investors are thinking but instead the traders and investors will just be impacted from the results.
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01-02-2019, 12:07 PM #3
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01-02-2019, 12:10 PM #4
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