I personally think that the stock market will rise sharply, and a structural bull market is likely to occur.

Because I have been involved in investing for many years and have a certain understanding of the market. What I can talk about is subjective knowledge based on my personal experience. If there is anything wrong, please tell me. Please bear with me. Regarding the question you asked, I would like to talk about the changes in the stock market from the perspective of market liquidity.

We can roughly talk about when the stock market will start.

If we think about it from a macroeconomic perspective, there is a prerequisite for the launch of the stock market, which is that the liquidity of funds is gradually relaxed. Only when there is more and more money in the market, will gradually more funds enter the market, and at this time will the prices of various assets in the stock market be raised. It is for this reason that I think the epidemic will promote the rise of the stock market, because capital liquidity will become wider and wider during the epidemic period.

The epidemic will cause central banks in many countries to release funds.

This truth is easy to understand. When an epidemic breaks out, the development of various industries will be restricted. In order to further promote the development of various industries, central banks in various countries will implement loose monetary policies, which will lead to central banks releasing money. Under loose monetary policy, some speculative funds will flow into the stock market and real estate market, which will directly increase the prices of the stock market and real estate market.

The rise in the stock market is only a temporary problem and is not sustainable.

In my opinion, if the stock market wants to get out of the slow bull market, or even out of the evergreen market, the market must develop steadily. When the actual productivity and profits of various companies in the stock market reach a certain level, this is a healthy market environment. The so-called currency depletion caused by the epidemic is nothing more than an asset bubble. In other words, the stock market rise brought about by liquidity is unsustainable. After a short-term rise, it will quickly retreat and gradually return to the corresponding net value.

The above is my personal opinion on how the stock market will change during the epidemic. If you have anything you don’t understand, you can leave me a message. Everyone is welcome to actively communicate.