The numerators can go up and the denominator down

The Stock Market and Gold are Up, Why?

Mish says the reasons are hard to discern, but we at least can group the reasons into two groups, numerator and denominator.

The better way to understand the stock market is to ask, what would the market do if the numerator was balanced?  That is, if we had accurate banking.  In that case, there would be no stock market, we would have all corporations going to the corporate bond market. 

Most of the market changes, changes in some aggregate index of some selected stocks, will always be about money. The indices always neutralize the distortions of central banking, and government. I think that is why we call them indices. The indices also respond to foreign central banking.