this post was submitted on 11 May 2026
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Technology
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The stock market is going up despite all this. I think investors think that profits will continue to go up while jobs are being cut. Which means these corps must now do more with less people. And the market thinks thats going to lead to more profits still.
I guess they think the future will be much more automated and need people less. And they could be right.
stock market is a forecast of projected future profits.
if investors thing a companies choices will make profits go up next year, they buy. if they don't, they sell.
Ideally, yes.
In practice, if investors think the stock price will be higher in the future, they buy.
Dividends are such a tiny amount compared to the value of the share, that in reality it's all just speculation on how people are going to speculate.