Nuggies: What is Happening with this Stock Market?
Thursday, November 12th, 2020
Welcome to the twenty-fifth edition of Nuggies, an email newsletter that aggregates articles and commentary on business, economics, startups, and more, in bite-sized nuggets sent right to your email weekly. Created by and for college students.
Our quote of the week comes from Father Edward Sorin, C.S.C, founder of Notre Dame, who (probably) said, “GO IRISH!"
Here are your two favorite newsletter authors when we stormed the field after Notre Dame beat #1 ranked Clemson last weekend. Go Irish!!
(Masks were worn at all times except for this picture.)
This Week’s Articles:
What Is the Stock Market Even for Anymore?, New York Times Magazine
If you have wondered why the stock market is still rallying despite desolate GDP levels, lots of death, huge unemployment and massive amounts of uncertainty, this article is for you. It’s wide reaching and exhaustive but never boring or tired. The author keeps you engaged the whole time and provides a very compelling narrative around what’s been happening in the markets and why they seem so disconnected from Main Street. For two economics and America nerds, we love reading about why “the market’s rebound had become a source of morbid fascination for many.”
Read it here
It’s getting harder to find Nikes—and that’s just how Nike wants it, Quartz
This article walks through Nike’s shift to the direct-to-consumer model, the advantages, and some of the real human costs. DTC allows for brands to capture more margin and have more control over the presentation of their products, but doing this often leaves small retailers, like the Bronx’s “Frank’s Sports Shop” out in the lurch. This is a great article that looks at this shift from all sides.
Read it here
Trump spent years worrying about the stock market only to discover Wall Street doesn’t care if he loses, Vox
This piece is more balanced and thorough than the title may imply. This is a look at how the markets have responded to the election of Joe Biden in a largely positive way, despite claims of voter fraud and Trump’s widespread insistence that a Biden election would crash the markets. What this underscores more than any political spitting match, however, is just how much Fed policy has been an integral part in keeping this market up. This is a great piece that looks at the market in the context of the build up to and aftermath of the recent election.
Read it here
This Week’s Tweets:
Sorry Tommy…
This Week’s Wildcard (an extra, interesting nugget):
Here is the graph of a $1 investment in 1600. Invested in 1600, your dollar would be worth $100 Trillion today.
This Week’s Question:
What product is normal today will be looked at like we currently look at cigarettes, cocaine, or morphine tens or hundreds of years from now?
What are we listening to this week?:
I’m Shipping Up to Boston is on repeat all week. Listen once and you’ll feel blue and gold coursing through your veins. Go Irish everybody!
Thank you for reading! Nuggies is created by Thomas Pero and Spencer Koehl, two undergraduate students at the University of Notre Dame.
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