How The Stock Market Works

With the recent financial meltdown in the US and Europe, the Asian countries are in jitters too! Our local Stock Market dropped to below 900 points! One day up and the next day down! following local bourses as the experts said. Well, I discovered a bit of information which I guess will help to explain things a bit on how the Stock Market Works and hope that with understanding comes calm and peace of mind! Here is how what I discovered:-

It was autumn, and the Red Indians on the remote reservation asked their New Chief if the winter was going to be cold or mild. Since he was a Red Indian chief in a modern society, he couldn't tell what the weather was going to be.

Nevertheless, to be on the safe side, he replied to his Tribe that the winter was indeed going to be cold and that the members of the village should collect wood to be prepared. But also being a practical leader, after several days he got an idea. He went to the phone booth, called the National Weather Service and asked "Is the coming winter going to be cold?"

"It looks like this winter is going to be quite cold indeed," the meteorologist at the weather service responded. So the Chief went back to his people and told them to collect even more Wood.

A week later, he called the National Weather Service again. "Is it Going to be a very cold winter?" "Yes," the man at National Weather Service again replied, "It's definitely going to be a very cold winter."

The Chief again went back to his people and ordered them to collect every scrap of wood they could find. Two weeks later, he called the National Weather Service again. "Are you absolutely sure that the winter is going to be very cold?" "Absolutely" , the man replied. "It's going to be one of the coldest winters ever. " "How can you be so sure?" the Chief asked.The weatherman replied, "The Red Indians are collecting wood like Crazy.."

This is how the stock market works!!!

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