Marc Chandler says rising stocks aren’t always great for all, but falling markets tend to hurt the public far more.
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00:00Mark, what do you think about that? Are the price of eggs dropping? Are fuel prices going down?
00:06Oh, yeah. I mean, we've seen like oil prices have collapsed. But I don't think this is because of
00:10President Trump. I think this is because of OPEC boosting their output. And the policies that are
00:14being pursued, this trade war is going to affect growth, which is demand for oil. But I think that
00:20to your larger point about why the average person should care about stocks, because I think that
00:26they probably shouldn't directly. But it's really the indirect signal. Because if the stock market
00:32goes down, many people see that, especially how sharp and how quickly, many people think there
00:37could be a signal for the broader economy. Because these are corporations. These are the value of
00:42corporations. And what they're saying is, I think, is that the lack of transparency and the trade war
00:48is going to hurt growth. It's going to hurt earnings. And we're about to begin our earnings season.
00:52So I think as most people I know don't have a lot of money in the stock market.
00:56And they should be concerned because what it means for their employment, what it means for
01:00their wages. And I think that this is not a healthy sign for the economy. Maybe a booming
01:04stock market isn't so good, but a collapsing stock market is probably worse.