Saturday , 29 April 2017


True or False: Peace is Bullish for Stocks

It would seem logical to say that peace allows companies to focus on manufacturing goods, providing services, innovation and competition, all of which helps the overall economy but does peace, in fact, have anything to do with determining stock prices?
By Vadim Pokhlebkin/Robert Prechter (elliottwave.com) originally* entitled Don’t Get Ruined by These 10 Popular Investment Myths.
Figure 15 provides an example of peaceful times — the 1920s — in which stock prices seemingly benefited. After all, they rose 500% in just eight years, as there was mostly peace around the globe.
Figure 16, however, shows that in the time immediately following, stock prices lost 89% of their value. During this time as well, there was mostly peace around the globe yet stock prices fell more in under three years than they had gained in the preceding eight years!
It seems that we cannot count upon any consistent relationship between peace and stock prices.
[The above article is presented by  Lorimer Wilson, editor of  www.munKNEE.com and www.FinancialArticleSummariesToday.com and the FREE Market Intelligence Report newsletter (sample hereregister here) and may have been edited ([ ]), abridged (…) and/or reformatted (some sub-titles and bold/italics emphases) for the sake of clarity and brevity to ensure a fast and easy read. The author’s views and conclusions are unaltered and no personal comments have been included to maintain the integrity of the original article. This paragraph must be included in any article re-posting to avoid copyright infringement.]
*http://www.elliottwave.com/freeupdates/archives/2014/10/16/Don-t-Get-Ruined-by-These-10-Popular-Investment-Myths-%28Part-VII%29.aspx#axzz3IOE2gK92 (© 2014 Elliott Wave International)

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