In this scenario, it is well worth asking what is still driving the stock market, in an upward direction. In an environment where the economy is expected to slow down, stock prices should have been adjusting for that possibility. But that is true only if you work with the assumption that the stock market and the overall state of the economy are linked. This led to more individuals looking for a higher return and investing their savings in the stock market. Clearly, more people have been trading and investing in the stock market, in the process driving up stock prices.

Source: Mint May 28, 2021 13:52 UTC