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Originally Posted by BishopMVP
(PS sorry Edward, but there's enough evidence by now that if/when GME does shoot up it's clearly paired with a big market downturn, because super over leveraged places are unwinding positions in multiple companies to get cash on hand to cover their exposure. Personally I'd love GME to moon, the whole market to dip as chaos occurred, and then the chance to buy back in to those now undervalued assets that'll keep going up as the Feds keep interest rates super low. But make no mistake, if GME does soar it will hurt the entire market...)
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I'm okay with GME stirring up the market dynamics, change is good and then the SEC, Feds et. al will figure it out for the better.
But don't think GME is the main driver of this downturn, or at least this week's. Combination of things but what I read was inflation fears and speculate lack of progress (or good news) on Stimulus 2. TBH, I don't understand the inflation fears. I could have sworn I read in previous months that inflation is a non-issue.
And then we have Nasdaq doing much worse than Dow or S&P which means (I think) a correction on the Tech heavy growth stocks vs value oriented.
Correction on currently overvalued tech stocks I can handle, expect. We all know Stimulus 2 will happen. So I'm confident that overall markets will recover in short manner if it was just those 2 things.
Inflation fears is an unknown. I don't remember having to worry about inflation in my adult years but have heard it was a bear and that is something the Fed worries about all the time. If true, this could be a multi-year thing.
FWIW, kicking myself. I've been reporting that I've started investing in ARKK even though I was concerned about 10% in Tesla. I've also been moving away from value oriented funds to tech funds. So my portfolio is sucking right now. Tech funds, no problem they will recover. ARKK and Tesla, dunno.
And on top of that, Apple has been sucking. Oh well, think long term.