I understand how the stock market works. I’m calling into question whether the 2.5 trillion ever existed, or whether it was a speculation that people put entirely too much faith in. If I tell you that I’m going to buy your Apples tomorrow for $2 a piece, does that double your value? No. You still have 10 apples in value. The money you don’t have is made up. Until it can be exchanged for goods and services, it’s not even toilet paper. If people want to trade on speculation, godspeed, but it shouldn’t have shit to do with my life.
I don’t think you are trying to come to their defense, and I don’t want this to seem like an attack on you. I’m just restating my point with a bit more detail.
In this analogy, it’s like tech companies agreed upon valuing apples at 200$ a pop while the apple trees aren’t even planted. So, yeah, this money never existed.
I understand how the stock market works. I’m calling into question whether the 2.5 trillion ever existed, or whether it was a speculation that people put entirely too much faith in. If I tell you that I’m going to buy your Apples tomorrow for $2 a piece, does that double your value? No. You still have 10 apples in value. The money you don’t have is made up. Until it can be exchanged for goods and services, it’s not even toilet paper. If people want to trade on speculation, godspeed, but it shouldn’t have shit to do with my life.
I don’t think you are trying to come to their defense, and I don’t want this to seem like an attack on you. I’m just restating my point with a bit more detail.
In this analogy, it’s like tech companies agreed upon valuing apples at 200$ a pop while the apple trees aren’t even planted. So, yeah, this money never existed.
It’s always speculative. You buy or sell a stock because of your opinion on the current price, or because of your expectations on the company.
That’s the whole point of the stock market.