Read on Twitter
1/ I'm seeing a lot of twitter outrage today over market going up in response to massive unemployment increases. I can't tell if people are actually serious about this, or simply amused by what appears to be a paradox. Assuming they are serious .... https://twitter.com/CharlesFLehman/status/1248291898512625664
2/ The market isn't up, it's down since 2 months ago. The market was expecting massive unemployment starting back in February. It's been going back up from it's lowest point over the last few days because unemployment hasn't been as bad as expected.
3/ It's like:
Doctor: We had to amputate your dad's leg, but he's otherwise okay.
You: Oh thank god.
That sounds like an outrageous response only if you ignore what happened before:
Doctor: Your dad was in an accident and will likely die.
Doctor: We had to amputate your dad's leg, but he's otherwise okay.
You: Oh thank god.
That sounds like an outrageous response only if you ignore what happened before:
Doctor: Your dad was in an accident and will likely die.
4/ It's quite common for a company's stock price to rise after announcing bad results. It's because the market was expecting worse results. The stock market rising today means the latest news of 6.6 unemployment claims isn't as bad as the 8 million claims they were expecting.
5/ People think the market's optimism isn't that the PEOPLE will do better but that the government will do BAILOUTS, giving businesses taxpayer money. That could be the case, but it would take more evidence.
6/ I've looked for such evidence without finding it. For example, the market continues it's pessimism for the companies most needing bailouts, like the airlines.
7/ The European and Japanese stock markets follow similar curves as the U.S. markets. In other words, I doubt the rebound has to do with what the market feels about Trump bailouts.
