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can /biz/ explain to me why the market is...
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can /biz/ explain to me why the market is hurting so much from the drop in oil? Lower prices means more quantity demanded, and more people can buy other stuff because of lower costs. And why is the Nasdaq tanking too?
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bump?
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>>1089035
Because there is a shitload of bad loans out there that need expensive oil to be paid back.

When these loans start defaulting its gg
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People think that the drop in oil is what's causing the slump, but it's actually just a symptom. Global production has slowed down dramatically, especially in emerging markets, resulting in decreased demand for commodities like oil. Oil just got hit particularly hard because there's a tremendous glut in supply compounding the problem. The markets aren't hurting because of the drop in oil prices, oil prices are hurting in part because of a global downturn in production.
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All of the above, and the price of oil dropped so fast that it rekt the market, lowering the demand for goods which offset the benefit of having cheap oil
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Are we fucked?(America specifically)
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>>1091163
Probably just a mild recession. The US will still be the strongest out of all the major economies.
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>>1089035
Semitah.

Are you satisfied?
Thread replies: 8
Thread images: 1
Thread DB ID: 514431



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