2018-02-17

THE MECHANICS PARADIGM IS UBIQUITOUS IN FINANCIAL COMMENTARY

 IN THE NAME OF ALLAH THE MOST GRACIOUS THE MOST MERCIFUL
AFTER THE LAST  STOCK MARKTE‘S SELLOFF , MANY OF THE MAIN STREAM EXPERTS GAVE US A WIDESPREAD COMMENTARIES , SUCH AS , INVESTORS HAVE FEARS OF FAST PACE OF INFLATION, INTEREST RATE HIKES , THOUGH,THESE INFORMATIONS WERE KNOWN BEFORE , AS WELL AS THIS, EVERY ONE KNOWS THAT INCREASES EXPECTRED IN BOTH WAGES AND INFLATION IN 2018 , AND POSSIBLY 2019 ARE TOO SMALL TO TRIGGER A BIG REACTION FROM CENTRAL BANK.... SO WAT‘S NEW ?!!! NOTHIN
BUT ITS ABSURD OR CONVENTIONAL JUSTIFFICATION
IT IS STRANGE THAT GLOBAL STOCK MARKETS IGNORED , AN IMPORTANT ECONOMIC NEWS , SUCH  GROWING THE US TRADE DEFICIT IN NOVEMBER ROSE TO ITS LARGEST IMBLANCE IN NEARLY SIX YEARS , YET THE STOCK MARKET HAS CONTINUED TO REGISTER ONE RECORD HAIGH AFTER ANOTHER.
DO YO BELIEVE THAT THE ECONOMY ACUALLY LEADS THE FINANCIAL MARKETS OR ؟INTEREST RATES
OKAY , GOING BACK AS FAR AS OCTOBER 1929 TO KNOW HOW THE STOCK MARKETS HAD PREDICTED THE GREAT DEPRESSION A FEW MONTHS BEFORE  IT HAPPEND , THE CHARTS ABOVE SHOW,  HOW THE STOCK MARKETS LEADS  ON RATES NOT THE FED
I‘MA LEANING TO THAT THE  GLOBAL STOCK MARKET‘S SELLOFF DUE TO , INVESTORS ARE FEELING PRETTY GOOD ABOUT THEMSELVES AND THEY HAVE TOO MUCH CONFIDENCE, BECAUSE OF THE STRONG PERFORMANCE OF THE US ECONOMY AND THE GLOBAL ECONOMIC GROWTH GENERALLY , WE SHOULD REMEMBER THIS ADAGE "WEN COMPLACENCY REIGNS WE ALL GET WET" , CONFIDENCE IS GOOD TO A POINT BUT WEN ITS EXTREME IT BECOMES A CONTRARIAN  INDICTOR , AND MAYBE - IN SOME CASES - LEADS TO  MASS HYSTERIA IN SELLING
EVENTUALLY 
TO THOSE EXPERTS Y‘ALL , PLZ LET THE SUPERFICIAL COMMENTARIES A SIDE AND SEARCH FOR REASONABLE REASONS TO DEMONSTRATE THE REAL FACTORS FOR  RISING AND FALLING OF STOCK MARKTES