Brexit pushed the stock market down: O the horror

Brexit pushed the stock market down: O the horror
Stocks go up, go down: does it really mean anything?
An investor asked God, ‘Is the stock market an intrinsically woven part of the universe You created?’
And God said, ‘Only if you believe I wanted to create a new sucker every minute.’
In the wake of the Brexit vote, and in many other cases where an event is said to be ‘negative,’ stocks plummet. Major media promote these downward actions as evidence that ‘something bad has happened,’ and the ‘economy is suffering’ because of it.
On the other hand, if the general trend of the stock market is up, and ‘new highs’ are reached, media claim the economy is ‘recovering’ or ‘in good shape,’ or ‘booming.’
Indeed, the movements of the market are used as critiques of political and economic choices and happenings. ‘X policy-move shouldn’t have been taken, because look at what the market reaction was.’
We need to examine all this blather.
First of all, and this is the big one: what is the connection of the stock market to the companies whose stocks are being traded?
Is the whole landscape of buying and selling stocks intimately tied to those companies?
What is really going on?

This post was published at Jon Rappoport on July 1, 2016.