The great disconnect between the stock market and economy

Big jump: The US stock market surged by 13.2% in April, the largest monthly increase since 1987. — AFP

WHILE millions of Americans were losing their jobs, the stock market in April produced its best monthly return in over 30 years.

In the past eight weeks, 36 million Americans have filed unemployment claims. The US gross domestic product (GDP) plunged by 4.8% in the first quarter of this year, yet the US stock market surged by 13.2% in April, the largest monthly increase since 1987.