>nvidia loans money to companies>companies borrow some extra from the bank>nvidia promises their own money as collateral on the loans>the companies use nvidia and banks' money to buy nvidia cards>nvidia's stock goes up because it's own money is being given back to itself as revenueThis is totally sustainable and is not a bubble btw.
>>545134685The FED has been doing it since 1913 so it can go for a long time
>>545134685Thanks Steve.
Stock prices aren't determined by revenue but by the buying and selling patterns of stockbrokers. Stockbrokers consider a company's revenue in the course of business but revenue is usually less important than profit.
>>545134890For example Marvell and Sandisk are two hardware companiesSandisk has a marketcap of 190 billion, Marvell has a marketcap of 225 billion. Sandisk will post 11 billion in earnings today, Marvell will post 2.4 billion in earnings in 2 weeks. Despite earning more than 4 times what marvell does, hedge funds have been selling sandisk because "the cycle might be ending" and buying marvell because "if the cycle continues, marvell could go up 30%".It doesn't make any fucking sense, it's all basedo n vibes
>>545134685Yeah, banks were doing this forever. Surprisingly slow for BigTech to learn the game given how much nerds they sucked up.
>>545134792Average life span is 60 years (count from nixon gold shock) thougg the dutch gilder made it to 120. I wouldnt give usd much longer, were a generation removed now from the carnage that brought the common sense of the bretton woods agreement, theyll need all their empirez burned down to shed the hubris
>>545134685I wonder what'll happen when the tech bubble bursts.
>>545134685Idiot retards talking about shit they don't understand.People invest into these companies, either because they are just gambling on the market or because that's how the US pensions work where you buy stocks through 401kThey have the money from investors and they spend that money to get the things they want.>durr a bubble is when companies pay each other!!! that's a bubble right???The fucking bubble is that the stock prices are overrated. The bubble is that a company could be valued at 2 trillion dollars but if everyone tried to cash out and sell their stocks they would only get a few billion. That's the bubble.What the fuck are you talking about, retards?>durr bubble is when NVIDIA loans money!?????????????????Why wouldn't Nvidia loan money and have AI companies they are working closely with to do stuff for them?Fucking retarded
>>545135007I was an insider in R&D for a company going public. Traders said "you're public, this is your stock price that you're going to equilibrium at" and it climbed up to that amount. Bad news, no revenue? Doesn't matter, line go up. Good news, about to break into a market and start making big monies? No change, line slowly drifts towards target. The only thing that had any effect was an insider selling off a massive amount of stock which of course tanked it. Literally nothing matters except how traders feel, you could announce that you cured cancer and the stock won't budge unless a bunch of people you've never heard of believe you.
>>545135244Stupid nigger, the point is that they don't sell anything.
>>545135244Lending companies money to buy the things you produce is illegal in the US. Just not Taiwan.
>>545135670only bank jews are allowed to do loans, goyim
>>545135670They rent the cards from nvidia.
>>545134890Sane world:A company makes a good product. You buy stock in that company because you think it has a good future. The company uses that money to either make a better product and/or that product faster/cheaper. You get a portion of the profit as a dividend for giving the company investment.Clown world:Stocks are a beauty contest where you make choices based on who you think other people think will win the beauty contest. It could be an obese nigger with three teeth, and nobody in the world could honestly believe that thing is anything other than horrific. But if that nigger has a good PR team it can convince a critical mass of people that it already has a ton of votes in the bag. Then everybody piles on.
>>545134685
>>545135959>I'm too stupid to understand investing so here's my cool fan fic!
>>545136054(((Bernanke))) and (((Krugman)))
>>545135670>Lending companies money to buy the things you produce is illegalWhen has that ever not been what's happening?>The government produces land.>the government gives loans out to buy said land.
>>545134685>goyim dealing in the real worldwait until he finds out about fiat currency, the federal reserve, and fractional reserve lending.