Nifty 17, Honeywell 45, Market Watch. ET NOW. Brand Solutions. Video series featuring innovators. ET Financial Inclusion Summit. Malaria Mukt Bharat. Wealth Wise Series How they can help in wealth creation.
Honouring Exemplary Boards. Deep Dive Into Cryptocurrency. ET Markets Conclave — Cryptocurrency. Reshape Tomorrow Tomorrow is different. Let's reshape it today. Corning Gorilla Glass TougherTogether. ET India Inc. ET Engage. ET Secure IT. Tax How to file ITR.
Tax Saving. ITR Forms. By continuing to use this site we assume you're ok with our notice. The share market is often described as being in either a bull market or a bear market. But what do these terms actually mean?
A bull market means the share market is rising and investor sentiment is confident, further encouraging other investors to buy. Essentially a bear market is the opposite of a bull market. A bear market is generally marked by investor pessimism which can cause prices to continue falling, adding to further negative sentiment.
Sometimes a steep fall in market prices can be a market correction rather than a bear market. However, whereas a bear market is usually a sign of negative investor sentiment, a market correction is often a temporary price reversal before the market continues moving upwards.
Many of the speculators were selling stock they did not own, and when the stock price suddenly collapsed, the result was a debacle for the company and a tragedy for many investors. The term bear had been in use prior to the breaking of the South Sea Bubble; however, the affair brought bear into widespread use. At about the same time, another animal symbol made its appearance in the marketplace. The term bull originally meant a speculative purchase in the expectation that stock prices would rise; the term was later applied to the person making such purchases.
The animal seems to have been chosen as a fitting alter ego to the bear. Thus poet Alexander Pope wrote in This eighteenth-century animal imagery caught on, and bears and bulls have been in the stock market ever since. Subscribe to America's largest dictionary and get thousands more definitions and advanced search—ad free! Log in Sign Up. That is, a bull will thrust its horns up into the air, while a bear will swipe down.
These actions were then related metaphorically to the movement of a market. If the trend was up, it was considered a bull market. If the trend was down, it was a bear market. Others point to Shakespeare's plays, which make reference to battles involving bulls and bears. In Macbeth , the ill-fated titular character says his enemies have tethered him to a stake but "bear-like, I must fight the course. Several other explanations also exist.
Since the dramatic market sell-off during the financial crisis, the stock market has shown a resilient bull market, rising significantly, and reaching new all-time highs more than ten years after that market crash despite some sharp pullbacks along the way.
Bull markets often exist side-by-side a strong, robust, and growing economy. Stock prices are informed by future expectations of profits and the ability of firms to generate cash flows. A strong production economy, high employment, and rising GDP all suggest profits will continue to grow, and this is reflected in rising stock prices.
Low interest rates and low corporate tax rates also are positive for corporate profitability. When the economy hits a rough patch, for instance in the face of recession or spike in unemployment, it becomes difficult to sustain rising stock prices. Moreover, recessions are often accompanied by a negative turn in investor and consumer sentiment, where market psychology becomes more concerned with fear or reducing risk than greed or risk-taking.
Investing Essentials. Top Stocks. Advanced Technical Analysis Concepts. Actively scan device characteristics for identification. Use precise geolocation data. Select personalised content. Create a personalised content profile. Measure ad performance. Select basic ads. Create a personalised ads profile. Select personalised ads. Apply market research to generate audience insights.
Measure content performance. Develop and improve products. List of Partners vendors.
0コメント