Ancestors

Toot

Written by Owen on 2025-01-28 at 17:38

A fun thing to do when the press goes loud on some share price movement is to take the share price chart and zoom it out to the six month or one year horizon.

Nearly universally, the day's Big News, like a 15% day-over-day share price drop, turns into line noise, lost in the overall trend those same securities' prices. That doesn't make those daily variations meaningless, but it does mean that they have very little impact on people who aren't trading on day-over-day volatility.

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Descendants

Written by Owen on 2025-01-28 at 17:39

If, like me and like a lot of people who have better things to do than gamble on the daily markets, the bulk of your investment money is in long-term investments (mine live in an RRSP), these kinds of blips Are meaningless, or so close as to be functionally uneventful.

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Written by Owen on 2025-01-28 at 17:40

This is a press pattern that is not unique to share prices, though share prices, being numbers, are a good source of news drama. News agencies make up the impact, even when reporting on the facts, all the time. Zoom out. Stand ten feet further away and look at the whole picture.

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Written by Owen on 2025-01-28 at 17:42

Anyways nvidia is still worth three trillion, with a T, dollars, notional money, and the shareholder-lead push to replace expensive humans with planet-destroying machinery will continue unabated. A competitor coming up with a cheaper product isn't going to produce the kind of sea change that yesterday's press cycle would have you believe.

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