PSPINC CEO Kenichi Uchikura's Blog

Recent Decline in U.S. Stock Prices
Lately, U.S. stock prices have been frequently declining. What is the major reason behind this? I believe it is related to the unemployment rate. In particular, it seems that not only private sector jobs but also government jobs are being lost, with more people voluntarily leaving their positions.

 

I am not an expert, so I do not claim to understand everything. However, to be honest, I question whether this is really such a serious issue. Many of these government employees are getting paid without actually working. A reduction in government workers leads to lower government spending, ultimately contributing to increased efficiency. Especially when unnecessary personnel are being cut, it should not necessarily be seen as a negative development.

 

Currently, more than 90% of U.S. government employees claim to be working remotely from home. However, it remains uncertain how many of them are genuinely working. This situation cannot be considered acceptable.

 

If their unemployment is causing stock prices to drop, it would imply that corporate layoffs should also result in stock declines. This reasoning seems overly simplistic. Perhaps American investors need to think more logically.