Bohemian, mini, pencil, A-line, wrap, midi, maxi, hi-lo...the skirts of the world.
In finance, the skirt length theory is simple. The idea goes like this: short skirts means the stock market can be expected to rise. Remember how pumped Shania is when she’s singing about men’s shirts and short skirts? She knows what’s up with the stock market. Bare knees, bull market, as they say. When skirts get longer, markets can be expected to fall. Grungier, less-sexy times ahead for the stock market and the catwalks alike.
Do investors take this seriously? If they do, they probably wouldn’t tell you. It’s more of a superstition or an idea than an economic indicator. Unless...maybe it really is. Minis in the early 80s...boho skirts in the late '80s (market crash in 1987). Remember how long hems were in the 1920s? They rose with the stock market...until The Great Depression, that is.
Since we’ve gotten all the way to micro-minis and thong-style bikini bottoms, there’s not much farther up we can go. Does the micro-mini mean the beginning of late-stage capitalism? Is it only longer hems from here on out, back on our way down from the peak of the economy?
Keep your eyes on headlines and hemlines. But don’t be creepy about it.
Related or Semi-related Video
Finance: What is the Dow Theory?10 Views
Finance allah shmoop what is dow theory Well it's a
push me pull you index Yeah like you know the
doctor do little lama thing with the overall average of
the dow thirty stocks here and the dow jones transport
index here where one goes well generally the other follows
that is they are highly correlated in price and one
is basically an indicator of where the other is heading
Why Well originally the dow transports were railroads which appalled
all the crap that the dow industrials made so you'd
think that one would follow the other And if the
push me pull you thing didn't work for you well
take a short look at this caterpillar crawling you know
like that one part goes forward and then the other
follows Well dow theory is one of a good gillian
black box crystal ball theories that charters tried to use
to predict how the stock market would run in the
future so that they could profit from those predictions And
like all other black box theories they work sometimes even
very nicely for a while with high prediction levels That 00:01:08.293 --> [endTime] is well until they don't No
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