Comment on Why did Nvidia stock drop with R1 hype?
whaleross@lemmy.world 1 month ago
Because stock traders have no interest in any company or any product. They are all about staying one step ahead of the next trader. As opposed to investors that also have no interest in any company or any product. They are all about the next quarterly report.
This economic system is bullshit.
vithigar@lemmy.ca 1 month ago
It’s insane to me how stock prices are basically entirely disconnected from how a company is performing and are dictated by stock market buying and selling pressures.
You could pick literally any publicly traded company and make its stock price soar just by convincing enough people to buy it, with no relation whatsoever to how the company is performing or forecasted to perform. See: GameStop.
Nvidia tanked because a bunch of people sold Nvidia stock. Full stop. They may have been motivated by news of deepseek or whatever, but that’s not what moved the stock price. Had no one sold it would’ve stayed exactly where it was.
Frankly baffling that anyone can look at it and think “yes, this is how it should work and I don’t see any problems with it.”