[ 3 / biz / cgl / ck / diy / fa / ic / jp / lit / sci / vr / vt ] [ index / top / reports ] [ become a patron ] [ status ]
2023-11: Warosu is now out of extended maintenance.

/biz/ - Business & Finance

View post   
File: 134 KB, 340x358, Screenshot 2020-05-04 at 17.40.54.png [View same] [iqdb] [saucenao] [google]
20245245 No.20245245 [Reply] [Original]

>Economy gone to shit
>massive inflation
>spending down by about 20% across the board
>assets still holding their value

Why are western governments so obsessed with the stock market. In the face of the actual economy the stock market pales in comparison. Yet here they are, injecting money into the market.

>> No.20245380

Because we live in an over leveraged highly indebted society. Im not referring to citizens who are also indebted, but to corporations and governments.

The sustained crashing of stock markets could cause an irreversible snowball effect which may destroy every single corporation, government and society.

>> No.20245582

>>20245245
Today the stock market is the economy

>> No.20245639

Its so obviously fake. I donno who falls for it anymore

>> No.20245725

>>20245245
The market can stay irrational longer than you can stay solvent. However, everything's massively overvalued and some companies are already the walking dead. It's not difficult to time the crash: wait until one or two household names go under and then short everything.

>> No.20245817

>>20245725
look at 2008. the crash was over within a couple months. the trick seems to be in buying the dip, rather than shorting the top.

>> No.20245891

>>20245817
Thank you for your immanent sacrifice.

>> No.20245964

>>20245582
That’s the perception they’re hoping to foster. The reality of course is that the market is not the economy

>> No.20246020

Because they made it impossible to make money outside the stock market by obliterating interest rates. Remember when CD's and bonds were worth investing in? Now if the stock market tanks every retirement and savings in the whole country will be wiped.

>> No.20246053

Do you know how fucked most politicians would be if all those Boomer retirement accounts got rekt and those boomers have to work as greeters at walmart? You can easily flip a red or blue state of you piss off enough boomers

>> No.20246112

Because the alternative would be a Great Depression, and they know that their institutions wouldn't survive another Great Depression.

>> No.20246134

>>20245245
>Why are western governments so obsessed with the stock market.
jews

>> No.20246139

>>20246112
That’s still coming, they’re just kicking the can for as long as they can. It’s worked up until now and it probably has longer to run than you might rationally think

>> No.20246204

Because when you keep interest rates artificially low, the majority of the population will go to stocks, directly or indirectly, and you don't want to be overthrown by an angry mob.