ReplacementHot2808 t1_iugehvi wrote on October 31, 2022 at 2:58 AM

Why does the market need to go “way lower?” Honestly why?

Believeland-OH t1_iugo4nm wrote on October 31, 2022 at 4:31 AM

Some Redditors have puts. The lower the market the more for money for them and that’s all it is.

Same reason a user will say GME is about to moon, they have shares. Always important to know nearly every post on WSB about movement is because the poster has a vested interest.

AutoModerator t1_iugo90b wrote on October 31, 2022 at 4:32 AM

This ain't no movement you fuckin mouthbreather. Trading is not a team support.

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watifurdadpulledout OP t1_iugyn8w wrote on October 31, 2022 at 6:53 AM

B/c of Rates

ASMR_NAKED_COWBOY t1_iuhjkkf wrote on October 31, 2022 at 11:48 AM

The return on stocks needs to be significantly higher than on bonds to be worth buying/holding stocks, because stocks are more risky. Every time rates go up, bonds go up, and stocks become less attractive to hold. A stock with a P/E of 20 isn't worth it. A few more rate hikes and a stock with a P/E of 15 won't be worth it, you will be better off holding bonds. Stocks will get sold to buy bonds and get the same return but safer.