Dazed
@_Dazed
6 Years10,000+ Posts
Comments: 9549 · Posts: 12626 · Topics: 250
Dow Jones and the Economy
The Dow Jones is simply a stock index that is used to keep track of 30 important, prominent companies. It's wildly overused as reference point to see how the economy and stock market is performing. It doesn't always paint an accurate picture of the state of the economy as it excludes many other companies.
People overreact because everyone interested or involved in the stock market and the economy keeps track of The Dow. And since it involves money, any minuscule change tends to create panic on a collective level. On top of that, the news loves to sensationalize everything.
People overreact because everyone interested or involved in the stock market and the economy keeps track of The Dow. And since it involves money, any minuscule change tends to create panic on a collective level. On top of that, the news loves to sensationalize everything.
Posted by ItsSupes2
Generally speaking, the stock market will reflect the economic conditions of an economy. If an economy is growing then output will be increasing and most firms should be experiencing increased profitability. ... A long period of economic growth will tend to benefit shares.
https://www.economicshelp.org/blog/541/economics/relationship-between-stock-market-and-economy/
Basic shit you just can’t grasp
Do you grasp the idea of explaining to me like I'm five years old?
Posted by ItsSupes2Posted by _DazedPosted by ItsSupes2
Generally speaking, the stock market will reflect the economic conditions of an economy. If an economy is growing then output will be increasing and most firms should be experiencing increased profitability. ... A long period of economic growth will tend to benefit shares.
https://www.economicshelp.org/blog/541/economics/relationship-between-stock-market-and-economy/
Basic shit you just can’t grasp
Do you grasp the idea of explaining to me like I'm five years old?
I have been.click to expand
My five year old brain doesn't understand all those buzz words you used above.
Dow Jones is an index, proxy, yardstick, that is supposed to reflect the economy.
There are other indexes... S&P 500 and NADAQ.
DOW Jones = top 30 "blue chip" is not a stock market. Is an index, yardstick.
S&P = Largest 500 companies is not a stock market. Is an index, yardstick
There are other indexes that take other considerations. But, Dow and S&P are the standards.
NASDAQ is a stock market...
NY Stock exchange NYSE is a stock market.
They judge the economy by how well major companies are doing.
There are other indexes... S&P 500 and NADAQ.
DOW Jones = top 30 "blue chip" is not a stock market. Is an index, yardstick.
S&P = Largest 500 companies is not a stock market. Is an index, yardstick
There are other indexes that take other considerations. But, Dow and S&P are the standards.
NASDAQ is a stock market...
NY Stock exchange NYSE is a stock market.
They judge the economy by how well major companies are doing.
Posted by VenusAquarius
Dow Jones is an index, proxy, yardstick, that is supposed to reflect the economy.
There are other indexes... S&P 500 and NADAQ.
DOW Jones = top 30 "blue chip" is not a stock market. Is an index, yardstick.
S&P = Largest 500 companies is not a stock market. Is an index, yardstick
There are other indexes that take other considerations. But, Dow and S&P are the standards.
NASDAQ is a stock market...
NY Stock exchange NYSE is a stock market.
They judge the economy by how well major companies are doing.
This
See Jane.
Jane has lemons.
Jane can make lemonade.
Jane opens a lemonade stand.
Jane sells lemonade for 10 cents to passing people.
More people want to buy Jane's lemonade.
Jane needs someone to help make lemonade.
See Johnny.
Johnny has money.
Jane offers to pay Johnny 1 cent for each lemonade she sells if Johnny gives her 100 dollars to buy an automated squeezing/mixing machine with a dispenser.
Johnny asks Jane for a prospectus with expected cash flow over the next five years based on estimated sales data.
Jane says "I'm only 5 years old".
Jane gives Johnny a paper in crayon that promises to pay 1 cent for every lemonade sold after Johnny forks over 100 dollars.
Jane buys the machine.
Jane makes more lemonade.
More people buy the lemonade.
More kids in the neighborhood buy into Jane's business, and Jane expands her business.
Everyone is happy, except Sam.
Sam thinks growing lemon trees contributes to global warming and demands 100 dollars back.
Some other kids ask why.
Sam shows a study done by Ralph, who has never run a business, but his study claims more lemon trees causes global warming which means less lemon trees will grow in the future.
Other kids demand their 100 dollars back.
Jane cannot sell as much lemonade as she can because she has less money to expand.
See George.
George is a hedge fund person.
George paid Ralph to write his study.
George bets with Sam that Janes business will fail for 1000 dollars.
George smiles when Jane has problems.
George collects 1000 and looks for the next sucker to place a bet.
See Bill.
Bill sees what George is doing.
See Ivan.
Ivan lives on the next street.
Ivan was a victim of George.
Ivan has a standing warrant to arrest George if George is ever seen on Ivan's street.
Ivan talks to Bill.
Bill extradites George to Ivan.
George is put to a life sentence of hard labor in Ivan's back yard.
All the kids are happy.
Jane has lemons.
Jane can make lemonade.
Jane opens a lemonade stand.
Jane sells lemonade for 10 cents to passing people.
More people want to buy Jane's lemonade.
Jane needs someone to help make lemonade.
See Johnny.
Johnny has money.
Jane offers to pay Johnny 1 cent for each lemonade she sells if Johnny gives her 100 dollars to buy an automated squeezing/mixing machine with a dispenser.
Johnny asks Jane for a prospectus with expected cash flow over the next five years based on estimated sales data.
Jane says "I'm only 5 years old".
Jane gives Johnny a paper in crayon that promises to pay 1 cent for every lemonade sold after Johnny forks over 100 dollars.
Jane buys the machine.
Jane makes more lemonade.
More people buy the lemonade.
More kids in the neighborhood buy into Jane's business, and Jane expands her business.
Everyone is happy, except Sam.
Sam thinks growing lemon trees contributes to global warming and demands 100 dollars back.
Some other kids ask why.
Sam shows a study done by Ralph, who has never run a business, but his study claims more lemon trees causes global warming which means less lemon trees will grow in the future.
Other kids demand their 100 dollars back.
Jane cannot sell as much lemonade as she can because she has less money to expand.
See George.
George is a hedge fund person.
George paid Ralph to write his study.
George bets with Sam that Janes business will fail for 1000 dollars.
George smiles when Jane has problems.
George collects 1000 and looks for the next sucker to place a bet.
See Bill.
Bill sees what George is doing.
See Ivan.
Ivan lives on the next street.
Ivan was a victim of George.
Ivan has a standing warrant to arrest George if George is ever seen on Ivan's street.
Ivan talks to Bill.
Bill extradites George to Ivan.
George is put to a life sentence of hard labor in Ivan's back yard.
All the kids are happy.
Also Dazed, you already understand the market. I don’t know why you’re asking.
Posted by CancerOnTheCusp
See Jane.
Jane has lemons.
Jane can make lemonade.
Jane opens a lemonade stand.
Jane sells lemonade for 10 cents to passing people.
More people want to buy Jane's lemonade.
Jane needs someone to help make lemonade.
See Johnny.
Johnny has money.
Jane offers to pay Johnny 1 cent for each lemonade she sells if Johnny gives her 100 dollars to buy an automated squeezing/mixing machine with a dispenser.
Johnny asks Jane for a prospectus with expected cash flow over the next five years based on estimated sales data.
Jane says "I'm only 5 years old".
Jane gives Johnny a paper in crayon that promises to pay 1 cent for every lemonade sold after Johnny forks over 100 dollars.
Jane buys the machine.
Jane makes more lemonade.
More people buy the lemonade.
More kids in the neighborhood buy into Jane's business, and Jane expands her business.
Everyone is happy, except Sam.
Sam thinks growing lemon trees contributes to global warming and demands 100 dollars back.
Some other kids ask why.
Sam shows a study done by Ralph, who has never run a business, but his study claims more lemon trees causes global warming which means less lemon trees will grow in the future.
Other kids demand their 100 dollars back.
Jane cannot sell as much lemonade as she can because she has less money to expand.
See George.
George is a hedge fund person.
George paid Ralph to write his study.
George bets with Sam that Janes business will fail for 1000 dollars.
George smiles when Jane has problems.
George collects 1000 and looks for the next sucker to place a bet.
See Bill.
Bill sees what George is doing.
See Ivan.
Ivan lives on the next street.
Ivan was a victim of George.
Ivan has a standing warrant to arrest George if George is ever seen on Ivan's street.
Ivan talks to Bill.
Bill extradites George to Ivan.
George is put to a life sentence of hard labor in Ivan's back yard.
All the kids are happy.
Sam's a dumbass.
Posted by Romz-
Also Dazed, you already understand the market. I don’t know why you’re asking.
I really don't though.
Posted by _Dazed
I don't understand how they are connected.
in that they are both concepts that most people don't understand.
an economy is an area of humanity, related to production and transactions of goods and services, while the down jones is a stock index (not a good one), of the biggest companies that function in the U.S.
a good comparison imho is the concept of politics, we hardly understand how we manage to live together without killing each other, this "miracle" we call it politics, the index would be the voting pools where they tell you that Hillary is gonna get the popular vote in the next elections, and everyone cheers up, and them Trump becomes the president, and people realize that a fucking index means shit when you try to predict what people do.
Join the Conversation. Explore Yourself. Connect with Others.
Discover insights, swap stories, and find people. dxpnet is where experiences turn into understanding.
Create Your Free Account →Related Topics
Since Dxpnet censored my last post, thought I would try something safer.
I have a friend in LA who is my age. He has been having hookups with this older married woman that is in a open relationship with her husband.
That ironically is not the issue. T
I was watching Riverdale last night (yep know the show is trashy, but am a huge fan of Madchen Amick who was in Twin Peaks and watch for her mainly.
Anyway I forgot they had their annual craptastic musical episode last night and stopped watching.
I was
C-SPAN "Open Phones" question of the day.
Is the US ready to reopen the country? Everyone back at work.. Everyone back on public transportation.. Everyone back in the restaurants and bars..
If not, what is it going to take to reopen?
And I will recommend a Kindle Unlimited romance book for you*
*until i get bored and/or no longer feel like it
Once in a blue moon I’ll have an anxiety attack. It’s like a mix of anxiety & depression. I got myself prescribed Valium to help (I told the doctor I have airplane anxiety because I was worried they wouldn’t take rare panic attacks seriously).
I keep
What do you think about the people saying that this virus is being blown out of proportion and it’s nothing more than an extreme flu 🤧 that is being used to keep society constricted?
This is not something I believe in but I’m seeing a lot of similar acti
From yesterday's Open Phones session on C-SPAN
https://www.c-span.org/video/?471062-2/washington-journal-news-headlines-viewer-calls
As somewhat of a constitutionalist, I'm struggling with the idea of keeping folks from practicing their religion. With to
@DXPnet
Could you unban @Chimichanga. Rabbit was just drunk trolling me.
Kthx
Like famous people start to think they are not real, or they are actually someone else
What do you think?
If only the site owner knew what was in store for them when they made this. I bet they sit back sometimes and just shake their head. "Damn it. They're at it again."
Can someone explain it to me like I'm five?