The stock market's recent surge makes sense

The stock market's recent surge makes sense

bit.ly - The stock market's recent surge makes sense if you actually look at the US economy A number of stories have emerged pointing out a supposed disconnect between “Main Street” — the US economy which is being hit by the pandemic — and Wall Street — which has seen stocks rally.But there are signs that the US economy has already bottomed and activity is starting to come back.And since equities are forward looking, the gradual recovery of the stock market actually makes sense.Does that mean things in the economy are good? Of course not. But stocks tend to get better before the economy is “good.”Neil Dutta is head of economics at Renaissance Macro Research.This is an opinion column. The thoughts expressed are those of the author.Visit Business Insider's homepage for more stories.To get more news about WikiFX, you can visit WikiFX news official website.    With the stock market rallying sharply off its March 23 low, the usual cries have started: stocks are missing the econ

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