This is truly MIND-BLOWING: Retail investors bought a RECORD $40 BILLION of US equities in April. Mom-and-pop investors have been furiously buying since the April 7th low, while institutions have massively sold and stayed on the sidelines.
How is this going to end? https://x.com/GlobalMktObserv/status/1918289372635357380
...is this suggesting de-escalation in US-China trade war or pointing closer to a permanent divorce (that China has already begun preparing itself for)?
BREAKING: US LAWMAKERS ARE URGING THE SEC TO DELIST SHARES OF LARGE CHINESE COMPANIES INCLUDING ALIABA , JD , BAIDU & WEIBO CITING NATIONAL SECURITY https://x.com/gurgavin/status/1918434215550697597
...US market rally is defying worsening economic outlook, because retail investors are 'playing' the market for a living.
...If the 25-40 year olds have no job and trades for a living, you'd be expecting them to buy into a market rise, right? They wouldn't miss it, they have to make money when the market is rising (regardless of what the economy says or do). Except that when the market tanks again, they would be wanting to be quick to sell to lock in gains. So with the legions of full time gamblers trading for a living, it increases overall volatility both to the upside and downside.
...In other words, the actions of market participants do not reflect the underlying economic fundamentals and can remain disconnected for a while. Those who are unaware could be caught up thinking the worse is over and the coast is clear.
