Why is the stock market rallying when the economy is so bad?
I think for the most part, it's this idea that things will go back to normal soon. And there wasn't anything structurally wrong with the economy like it was in 2008. Right now, the hardest hit people are mainly people with zero stocks (bartenders rarely have a decent portfolios).The Fed has made bonds and savings almost worthless with all the money being pumped into the economy, so why not try to get in on this opportunity?I think this all fools gold. We are going to hit 20% unemployment and earnings are going to take a massive hit. The stock market might not tank, but it also could break even.At the point that people think the stock market isn't worth the risk, that's when you will get another big sell off.In a weird way, both shorting stocks and going long stocks are both very risky positions right now.