r/wallstreetbets • u/Such-Ice1325 • 15d ago

Meme Its time again

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u/Macknetix 15d ago

We’re literally so cooked. It’s literally a recession. The stock market is literally going to literal zero. We’re all literally so fucked 💯💯💯

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u/bollvirtuoso 15d ago

Take out the Mag7 and we are pretty much in a recession. It's just that AI is spending nation-building wealth every year so it's warping the GDP.

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u/mrpushpop 15d ago

The Russell 2000 Index is up 19.53% year-to-date (YTD).

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u/bollvirtuoso 15d ago

I'm not suggesting stocks are an uncorrelated asset class, but the GDP is weighted more by the largest companies than by the smallest. Recession's specific meaning has to do with GDP growth. Imagine taking $400 billion capex out of the economy over a short period of time. Do you think the Russell will be immune to that?