Stock Market is not logical

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11. The market reacts to new information. Old news is presumed to already be priced into the market

So all the analysis about collapse has presumably already been priced in, which helps explain why the market has gone down a lot in the very recent past.

But today's activity in theory is based just on new information since yesterday. None of which has been overly bad or inconsistent with expectations.

Now, that doesn't mean the market always reacts correctly or in the right amount, so over time the market can get out of line. Then there can be a big rally or crash that's not really based on news, just the sudden realization of the market that it's drifted off track and there's a large readjustment.

I think that's where we're headed. Some underlying assumptions will be reevaluated. Such as the u.s. being the dominant economic global force, the reserve currency, etc.

The market is being slow to realize just how much damage Donnie is doing. If there isn't a strong push to remove him from office (seems a long shot, but don't f with all the billionaires at once), the market will see the dominos fall.

Long rates rising, bond market liquidity problems, ratings downgrades, plant cancelations and closures, companies moving away from America, international trade deals without us, etc.

These are all in the works and the market I think remains in denial. I don't think such risks are adequately priced in.