‘Mild positive’: markets greet prospect of Labour landslide with calm
Hazel Sheffield
Financial indexes barely flickered as the election was announced, suggesting Starmer’s move to woo the City has been a success
Sigh.
What is already known is already in market prices. This is the grand lesson of the efficient markets hypothesis. This is also a useful test of it.
We’ve all known for some time that a) the election was coming and b) that Labour were going to win it. So the price of that is already in prices.
That Starmer’s going to be PM in July rather than January is not wholly new information now, is it?
Maybe, like the rest of us, the markets could detect no significant difference between the two parties?
Why the fuck would ‘the markets’ give a shit about who squats in No10 given that whoever it is will do the same stuff anyway at the behest of the WHO, the IMF and the banks, the UN, the ECHR and all the rest?
Is Labour really such a dead cert? As I see it the Conservatives are truly terrible whereas Labour are pretty much the same only far far worse. I’m at a loss to think of a reason why anyone would vote for them.
@Stony…
“Becoz me grandad voted Labour, me dad voted Labour….”
Your faith in the rationality of markets (aka people) is impressive.
Why would the market worry, Starmer is promising to grow the economy.
Sorry, my tongue got stuck in my cheek there for a minute.
( Every policy he has announced is actually anti-growth and he has no idea of how.)
One of my stocks took a small hit. There’s some nervousness about Labour nationalising buses. But I think it’s unwarranted. I don’t think Labour are going to have old bus stations full of union members, they’ll just outsource it to First, Mobico etc with clowns like Burnham deciding what routes they should run. I think they’ll be more profit in that.
Rhoda – another ten million Pakistanis, Afghans, Albanians and Somalis is “growth”.
We’re going to grow our way into the dark ages.
@Stony:
Many, perhaps most, people vote against not for. They’re voting against Tory as they always have. Likely because they’ve heard all the bad things people said about Thatcher, never mind that they’re not old enough to have been around when she was in.
They won’t vote against Labour unless Labour gets in where they are.
“I don’t think Labour are going to have old bus stations full of union members, they’ll just outsource it to First, Mobico etc with clowns like Burnham deciding what routes they should run.”
It’s a win-win for them: they get to indulge their power fantasies while the inevitable enshittiment of the service can be blamed on “privatization”. Just like the trains.
@mjohnm: your failures to understand what Tim is saying, the nature of markets, and the meaning of rational behaviour, are impressive. Just not in a good way.