I don’t think major market moves are that nefarious; it’s more likely that the good economic news is going to cause the Fed to raise interest rates, which causes distress in the stocks markets.
Interest rates have been ridiculously low for a very long time. The Obama stock rally was completely built on extremely low interest rates and HUGH gov bailouts. Nothing else.
The Trump stock rally will have much more solid economic footing.
This selloff is a healthy, natural pullback.
Good time to buy.
i think a lot of people don’t realize all the trillions that were pumped into the economy over the last 10 years. Most of it was borrowed money and it had no where else to go when interest rates were zero.
Yellen speaking about the 33 P/E was the truth that spooked the market. For decades 10/20 P/E was normal but cash continued flowing into the market because it simply had nowhere else to go.
Now that the economy is truly growing and inflation/wages are rising and interest rates rise. We shall see what happens with all that Obama fiat money.
You have to be poised to buy because the dips don’t last very long.
I wasn’t talking about the market, I was talking about individual stocks. “Buy the rumor, sell the news” is a very old adage.