Why is the Market Behaving this Way? A Lesson from the Jellybean Jar

At our July 4th fireworks party last year, we put a large jar of jellybeans on a table. Our guests tried to guess the correct number of jellybeans. Determined to win, a retired engineer spent the better part of the party making measurements and calculations. When the number was revealed, his answer was way off. The closest guess was from a person with no background in science or mathematics who simply eyeballed the jar. She won the jellybeans.

When we tallied the average of all the guesses, the result was within 4% of the actual number. If you've wondered why the market behaves the way it is, watch this jellybean video. Yes, there is a 'method' to the current 'madness' of markets.