Three theories of how this bull market will go off the rails

Malaysia News News

Three theories of how this bull market will go off the rails
Malaysia Latest News,Malaysia Headlines
  • 📰 latimes
  • ⏱ Reading Time:
  • 62 sec. here
  • 3 min. at publisher
  • 📊 Quality Score:
  • News: 28%
  • Publisher: 82%

Demand is brisk for an account of all the ways investors have lost their minds.

The 2008 financial crisis hit during millennials’ formative years — creating habits and fears that have kept many away from 2019’s stock market gains.

By the way, as big as the FANG stocks are, the S&P 500’s weighting methodology is not the reason for its success over the years. Since bottoming in 2009, an equal-weighted version of the benchmark has returned 605% including dividends. That’s 80 points more than the classic market-cap weighted index.The stock market has ceased to be a report card on the broad health of American commerce and instead is being manipulated by the Federal Reserve.

Just as many find the theory preposterous. Neel Kashkari, president of the Federal Reserve Bank of Minneapolis, told “QE conspiracists” on twitter that he doesn’t see the connection. Dennis DeBusschere, Evercore ISI’s head of portfolio strategy, says the relationship between changes in the Fed’s balance sheet and the S&P 500 is near zero, and the latest stock rally is consistent with improving economic data and earnings.

“After a big gain, you’ll see investors piling in and the momentum continues because of the fact that they say, ‘I may have missed out last year and it looks like it’s really running so I better get more money into equity markets,” said TIAA’s Gaffney. “Momentum, especially ETFs and index-type funds, have an impact.”

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

latimes /  🏆 11. in US

Malaysia Latest News, Malaysia Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Oil prices slip ahead of data pointers on impact of coronavirus on demandOil prices slip ahead of data pointers on impact of coronavirus on demandOil prices edged lower on Monday as investors brace for economic data in Asia du...
Read more »

Samsung Galaxy S20 First Look: Three Phones, 5G, So Many CamerasSamsung Galaxy S20 First Look: Three Phones, 5G, So Many CamerasThis year's flagship smartphones from Samsung—the Galaxy S20, S20+, S20 Ultra—are packed. But can you tell them apart? WSJ’s Joanna Stern explains how they diff
Read more »

Three people shot In targeted attack at restaurant owned by 'Real Housewives' star Kandi BurrussThree people shot In targeted attack at restaurant owned by 'Real Housewives' star Kandi BurrussPolice have no found a motive for the shooting at Old Lady Gang on Valentine's Day.
Read more »

Three Takeaways From Cole Haan’s IPO FilingThree Takeaways From Cole Haan’s IPO FilingCole Haan plans to go public as the shoe label eyes a bigger share of the growing athleisure market.
Read more »

Masked Singer presenter Davina McCall on the home births of her three childrenMasked Singer presenter Davina McCall on the home births of her three childrenThe Masked Singer judge Davina McCall tells of her three home births with her children Holly, Tilly and Chester, who she shares with TV presenter Matthew Robertson
Read more »

Three Shot at Atlanta Eatery Owned by Kandi Burruss of 'Real Housewives'Three Shot at Atlanta Eatery Owned by Kandi Burruss of 'Real Housewives'A man entered the Old Lady Gang restaurant on Friday night and targeted another man, East Point police Capt. Allyn Glover told news outlets. Police say two bystanders were also shot, and all three shooting victims suffered non-life-threatening injuries.
Read more »



Render Time: 2025-02-28 05:58:40