How is the stock market making gains despite the current circumstances?

by SpontaneousDisorder

The stock market does not track news or economic fundamentals. People will always try to interpret the stock markets moves in light of the current news but really half the time this never really makes sense.

It did’t make any sense the market screamed higher into late Feb as the pandemic emerged.

It made sense for a few weeks as the market crashed until about march 20th.

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But since then the situation, especially economically has deteriorated dramatically yet the financial markets are calming down.

A better way to view financial markets IMO is social mood.

www.investopedia.com/terms/s/socionomics.asp

In this bear market you’re going to see periods of panic and periods where the market recovers and people think the worst is over. Take note of how the deterioration in the economy and news FOLLOWS deterioration in the stock market. Just as during the financial crisis.

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