I know, they want to see what kind of day the market is having. etc. But what do they actually do with that information? What decisions do people make based on the markets' day-by-day performance, rather than long term considerations?
2007-06-04 08:10:48 · 5 answers · asked by rainfingers 4 in Business & Finance ➔ Investing
It really is just an indicator of how the market's doing. Those of us with a substantial amount of money in the stock markets are interested. That doesn't mean that hearing today's S&P figures makes me go right out and do something explicit. In fact, since I'm a long-term investor and not a day-trader, it probably won't directly lead to any action. But I'm still interested.
2007-06-04 10:39:47 · answer #1 · answered by enoriverbend 6 · 0⤊ 0⤋
If you are investing for the long term, then your continued interest in what the markets are doing help you to better understand investment decisions when they do arise.
If you are day trading or options trading, then this continous monitoring allows you to take advantage of trends in the market during short periods.
2007-06-04 16:46:00 · answer #2 · answered by On the rocks 2 · 0⤊ 0⤋
For most people, it is a bad idea. A lot of my 401K is effected by the stock markets and I tend to watch them daily but since that's a long term investment it really isn't a good idea. Knowing not to watch and watching are very different. :)
2007-06-04 08:44:39 · answer #3 · answered by The man 7 · 0⤊ 0⤋
Some individual trade the market. Their are financial derivatives based on the different indicies. So when they go up or down, someone is either making or losing money.
2007-06-04 08:33:35 · answer #4 · answered by Anonymous · 0⤊ 0⤋
Becoz they might not have found other tracks near their house.
2007-06-04 08:18:30 · answer #5 · answered by k s 2 · 1⤊ 1⤋