
Why is the stock market watched so closely?
This is in regards to macro economic conditions. The supply and demand of stocks is not a show of a good are bad economy. So, why do we look to them as if they are an omnipotent sign?
Because investors want to know how their investments are doing. The better they are, the more capital will be pumped into the markets.
Stock Market Crash – Robert Prechter on Bloomberg – Oct. 19, 2007
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