Market Movements and Misconceptions

This chapter examines the recent decline of the U.S. stock market, analyzing the effects of rising interest rates and inflation on various sectors, particularly tech versus energy. It discusses the disconnect between stock market fluctuations and public economic sentiment, as well as the differing significance of stock ownership in the U.S. and Europe. The chapter further explores the global implications of U.S. market performance, touching on the influence of foreign investors and the relative importance of the bond market.