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In response to
"Thanks! -- nm"
by
Krusty
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YW. I think folks look at the stock market for a number of reasons.
Posted by
ty97
Feb 24 '21, 08:28
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In no particular order.
1. It's easy to understand, and widely reported. Dow up, Down down, just makes sense. And it's there every day as a reference as opposed to GDP coming out monthly (I think)
2. As the marketplace segment covered, while the stock market is not the economy, they are not disconnected either. If we enter a recession, the stock market is going to drop, for example.
3. 50% of Americans have at least some investment in the market, whether it be their retirement (401k, IRA, etc) or something else. If people see their retirement fund dropping, they tend to be a bit more pessimistic about how things are going, even though ups and down are part of the stock market's nature, even in robust economic times.
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