The "daily Call" From Option Alpha: Options Trading | Stock Options | Stock Trading | Trading Online
#769 - What Causes The Stock Market To Fluctuate?
- Author: Vários
- Narrator: Vários
- Publisher: Podcast
- Duration: 0:03:51
- More information
Informações:
Synopsis
Hey everyone. This is Kirk here again from Option Alpha and welcome back to the daily call. Today, we’re going to answer the question, “What causes the stock market to fluctuate?” The simple answer to me is only one word and that’s expectation and if we were to expand this out to just two words, it would be future expectation. I think this concept is a little hard for people to wrap their heads around, especially if you’re new to stock trading or stock investing or new to options trading. You’d think to yourself that the market is a tool to value something right now, but it’s really not. The market is always looking towards the future. That’s why if you actually dig into stock market movements and what actually drives the market, it rarely has anything to do with what actually happen today. It’s all based on what might happen in the future based on any sort of data or information that we learned today. For example, the FED interest rate decision that is coming up or that has already happened and what their co