It’s called inflation. Duckduckgo M1 money supply and look at the chart of monetary injection into the system in the last year and over the last 10 years. If the Fed Reserve pulls back sharply we could get a massive crash, or we could simply be in the third inning of a wave of government printing we’ve never seen before with stocks and real estate being great hedges against inflation.
I understand the printing of money aspect, but so many businesses have closed. So many people became unemployed, and no longer counted as such. So many are underemployed. Wages/compensation haven’t gone up much at all around me.
I get your point about the music is still playing.
I don’t think it will be good when it stops...
Real Estate is insane right now.
Pretty much it in a nutshell, uber low interest rates deter people from savings or cash, thus money flow into equities and tangibles like real estate or gold.
My father always had a saying, “Nothing goes in a straight line”. So yes these bull markets become bear markets and then reverse course again. Market timing is scary and even the pros dont always get it right. Be diversified. Play it a bit more safe as you age.
As for the NASDAQ or QQQ yes it is more volatile, with technology you are betting much more on innovation or things to come. In recent times, the FANG stocks have really driven this rise, but they are THE ECONOMY now. Overlay AAPL or APPLE over that chart and you will see what drives it.
I would also add that Covid on many levels has driven segments of this market. Sitting at home has driven people to even more technology, more electronic gadgets to work from home, Apple, more deliveries from Amazon and Target.
And in addition, young people seem hip on investing, they have their gadgets and apps and are adding small amounts of money to play in the Wall Street game as they see it. From Crypto trading to the REDDIT stock crowd funders and crashers... interesting times.