Oh the joy of investing in cash account markets...a huge part of the stability in the US market is the amount of money tied up in retirement accounts...people just can't/don't pull that stuff out at the drop of a hat because of the limitiations and disincentives associated with doing so.
With developing markets, you have a different investor profile...speculators/and idiots that are late to the game (mf investors)! Healthy and growing economies can have inflated stock prices because of the increased money flows into funds with investment policies requiring them to buy into a specific market with limited tradeable investment opportunities...
With developing markets, you have a different investor profile...speculators/and idiots that are late to the game (mf investors)! Healthy and growing economies can have inflated stock prices because of the increased money flows into funds with investment policies requiring them to buy into a specific market with limited tradeable investment opportunities...