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/Ashamed-Agency-817 2d ago

The money doesn't go anywhere when the market crashes. It mostly vanishes.

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u/2PhotoKaz 2d ago

Well for the stock to go down there have to be sellers. Those sellers are making money as they sell their shares. If zero shares were traded a stock would not drop.

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u/Ashamed-Agency-817 2d ago

It seems you don't understand what I say.

If you buy a stock for 100 and sell it for 50, then the 50 has just vanished.. this is basically what is happening now