r/stocks • u/2PhotoKaz • 2d ago

Broad market news Market getting smashed, where is cash going?

Clearly a massive sell off is happening, are traders (big and small) just sitting on cash once they sell? Gold, the bastion of safe heavens, is also getting hit.

Bonds? Simple interest? Are any sectors up in this mess?

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u/swsko 2d ago

i think he meant where the money being pulled out from selling is rotating to..yes valuation does not equal money until you sell or buy

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u/EventHorizonbyGA 2d ago

The money disappearing is significantly more than the money being made shorting. About 150B has been made shorting this year but the total market cap losses are about 5T.

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u/swsko 2d ago

That’s why it’s called valuation, the value dropped by 6T no one sold 6T as you said. I can buy a pc for 500usd but the value plummets to 200usd it doesn’t mean I sold 300usd, it just means it’s worth less int he market