"Los precios de las acciones son impulsados más por las emociones de los inversores que por los fundamentos a corto plazo"
— Bill Ackman
Simplified Meaning:
When people buy and sell stocks, their feelings often have a big impact on the prices, especially in the short term. For example, if there's scary news about the economy, many investors might get nervous and sell their stocks, causing prices to drop. On the other hand, if there's exciting news about a new product or company, people might rush to buy, driving prices up. This happens even if the real, basic health of the company (fundamentals, like its profits and losses) hasn’t changed. So, a company might actually be doing just fine, but if investors get scared or overly excited, their actions will still change the stock price quickly. Understanding this can help you stay calm and not make rash decisions based on short-term market moves. Instead, you could focus on the long-term health of your investments.
