General Discussion
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(42,388 posts)uponit7771
(90,367 posts)intrepidity
(7,339 posts)That's a strong psychological barrier, when it finally falls through it for real, then watch out below.
Wounded Bear
(58,726 posts)unblock
(52,351 posts)remarkable how close we are to that point.
i think the market is over-reacting, though it's clear we've just started a very severe contraction.
but it's still remarkable that virtually all the stock market gains during donnie's presidency are effectively wiped out.
malaise
(269,200 posts)in a few minutes
unblock
(52,351 posts)ProfessorGAC
(65,227 posts)Did the economic fundamentals ever actually support the continued growth for 38 months, or was it wishful thinking based on " business man" nonsense?
unblock
(52,351 posts)Up as much as it was, probably not, as it was goosed by a number of factors, but the up trend was justified as companies were getting more profit.
The change in corporate tax law alone was huge for valuations of profitable companies (albeit not so much the big global ones who were successfully evading taxes anyway)
But yeah, it was long overdue for a correction anyway. But to erase 3 years of gains is staggering.
ProfessorGAC
(65,227 posts)But profitability wasn't rising across the board at the same % as the major indices, hence my question.
We disagree some on whether it was wasn't a 3 + year "irrational exuberance" party on Wall Street.
unblock
(52,351 posts)one part goosing corporate after-tax profits, and one part legitimate economic growth.
But we certainly agree the markets were overvalued.
ProfessorGAC
(65,227 posts)So really we're agreeing on all but tiny differences in proportion!
MoonlitKnight
(1,584 posts)S&P 500 is exactly at its support level. Either it bounces back up when trading resumes or next support level is around 2,000.