bear market
Học thuậtThân thiện
Definition
Noun: A bear market is a financial market condition characterized by a prolonged period of declining prices, typically for securities such as stocks. It is generally defined as a drop of 20% or more from recent highs, accompanied by widespread pessimism and negative investor sentiment.
Usage
The term is used to describe the overall trend and atmosphere of a financial market, not a single day's activity. It is the opposite of a "bull market." * It functions as a countable noun (e.g., a bear market, several bear markets). * It is often used with prepositions like in, during, or into.
Examples
- Noun:
- Investors are worried that the recent volatility could signal the start of a prolonged bear market.
- During the bear market, many technology companies saw their share prices cut in half.
- Strategies for preserving capital in a bear market differ from those used in a bull market.
Advanced Usage
- "to be in a bear market": Describes the current state of the market.
- The index has fallen 25%, so we are officially in a bear market.
- "a bear market rally": A temporary increase in prices during a longer-term declining trend.
- Analysts warned that the recent gains were likely just a bear market rally and not a true reversal.
Variants and Related Words
- Bearish (adj): Describing a pessimistic market outlook or expectation that prices will fall.
- The economist's report was very bearish on the prospects for the energy sector.
- Bear (n): An investor who expects prices to fall and may sell securities short.
- The bears have dominated trading sentiment for the past six months.
Synonyms
- Downturn: A decline in economic or market activity. (Less specific than "bear market.")
- Down market: A simpler, more general term for a market where prices are falling.
- Slump: A sudden severe or prolonged fall in prices or activity.
Antonyms
- Bull market: A financial market condition characterized by rising prices and optimistic investor sentiment.
Noun
- a market characterized by falling prices for securities