Posted on 04/07/2025 12:14:42 PM PDT by MeneMeneTekelUpharsin
Is the stock narket almost completely manipilated? Who is actually selling (I'm not.). What group of people drove the indexes down because they hate Trump?
Look closely at stocks of some major companies and you'll see that they almost identically mirror the DOW Industrials. How could that happen without computer control? Check out GPN vs. the DOW.
Well, that would warrant a different discussion.
The scourge of index funds, which are programmed not to make value judgements, just go with the market trend, and with 20% of the buys and sells programmed to go with the trend of the index each day, that’s 20% of the change in the market that had nothing to do with anyone making valuations of companies - just keep the portfolio in proportionate sink with an index(es) (When the Dow Jones Industrial Index is selling down, DJIA index funds have to sell to keep in sync with the index, and if more real value traders decide to sell more, DJIA index funds have to sell more as well. )
I have a pension fund that became highly invested in index funds. Many of us recommended that index funds not have a massive share of the portfolio but be used as a hedge, while traditional investors made more traditional valuation decisions on significant parts of the portfolio. We made that argument because before the pension fund went so heavily into index funds its inhouse investment departmwent for over forty years produced returns better than than major stock market indexes. We understood the cost of inhouse investors was greater than the costs of index funds, but the history of the fund showed it had not suffered for it.
Becuase my pension fund is now weighted so heavily by index funds now, If the tariff war keeps up, my pension income could take a significant hit as early as this fall. I will survive that. But, multiply that by millions of retirees like me, the question becomes will Trump’s ability to push his agenda survive, or will economic factors cost the GOP the House and Senate in 2026. Biden lost on the economy; so can Trump. Trump needs to rapidly get real (not formulaic) tariffs agreed to, and the sooner the better.
55% off the top is not out of the question if we see a world wide tariff war.
By some measures, the market reached capitulation at today’s close, which historically has been a good buying opportunity. But...who knows?
check this out: https://m.youtube.com/watch?v=yB_gOhxlgMc
I’ve been of the opinion that the stock market has been rigged since shortly after 9/11 (no pun intended).
The entirety of statistics on the US economy are fudged.
It’s appalling, but a correction is underway.
Absolutely. A retail investor really can’t compete with the pros, especially in times like these I watched the Dow today jump 100+, then fall 100+, and jump 100+ again all in about 10-15 seconds
53% of the market is in passive investments like index funds and ETFs, that’s why they are trading in unison.
The high frequency dark market, pay for order flow crowd sold the politicians and the regulators that they provide liquidity, which is total bullshit. We’ve turned the stock market into a commodity market without a lot of company fundamental analysis.
This is why the volatility is so high
Put a fee on closing a position within 48 hours and you get rid of a lot of this crap.
I thought everybody knew that? I also thought regulations had been put into place so that computer programs (which manipulate the market at a trigger) couldn’t do that anymore?
This!
Netflix is a democrat party money launderer so that stock goes up.
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