What typically happens to markets during recessions vs booms?

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johnsheppard
Posts: 283
Joined: Mon Feb 04, 2019 6:00 am
Location: Cairns Australia

Hello there,

I wondered if anyone who has been around at this game for long time might be able to describe what happens to betting markets during recessions or vice versa? I would guess that liquidity goes up and down in line with economic measures, that's all there is to it and its as mundane as that.

But I also wonder if desperate people that are losing their jobs take their remaining dollars to the track in sufficient qty to make any difference....stuff like that...

Thank you for any discussion
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ShaunWhite
Posts: 9731
Joined: Sat Sep 03, 2016 3:42 am

Betting is a part of the leisure/entertainment industry and is affected in the same ways. The key factor is net disposable income. Redundancy is usually 1 week per whole year served so doesn't cause a flood of money, and it only going to be a small minority that do something stupid like taking it to the bookies especially since most people were skint already when they had a job due to 10yrs of real terms salary cuts. I've been interested in the industry for almost 40yrs now and that's the pattern I've seen anyway.
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johnsheppard
Posts: 283
Joined: Mon Feb 04, 2019 6:00 am
Location: Cairns Australia

Thanks Shaun, I suppose I shall google what happens with disposable incomes, might give me some insight... I would guess that in contractions of volume all the traders have to fight a bit harder until some give up. That is more likely what's on my mind. Something to mull over before it actually happens... of course I have no idea when or if these things are gonna happen....the guy on the news doesn't either...
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