The disparity is a new record, according to Federal Reserve data. However, while the stock market was “the main source of wealth creation in America during the pandemic” it was also “the main driver of inequality.”
According to Yahoo Finance, the stock market suffered technical damage from early September and into October but is back in “rally mode.” This “rally” is because “the technical damage done to stocks from early September through early October is being repaired. Traders love seeing this type of action as it often becomes self-fulfilling.”
There are still concerns “given the major inflationary and supply chain pressures on the income statements of corporate America.” However, according to Yahoo Finance, investors will ignore these pressures so long as there are “solid bank earnings” which will tell a lot about how reporting season will go.
The Airbnb logo is displayed on the Nasdaq digital billboard in Times Square in New York as the home sharing platform made its US stock market debutPhoto: AFP / Kena Betancur
While the top 1% gained $6.5 trillion in corporate equities and mutual wealth funds during the pandemic, everyone else added only $1.2 trillion in wealth by comparison.
Ninety percent of U.S. citizens hold only 11% of stocks. The top 10% benefit most from stock market gains.
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