Saturday, August 29, 2015

Term of the Day: Bear Market

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August 29, 2015
Bear Market

A market condition in which the prices of securities are falling, and widespread pessimism causes the negative sentiment to be self-sustaining. As investors anticipate losses in a bear market and selling continues, pessimism only grows. Although figures can vary, for many, a downturn of 20% or more in multiple broad market indexes, such as the Dow Jones Industrial Average (DJIA) or Standard & Poor's 500 Index (S&P 500), over at least a two-month period, is considered an entry into a bear market.

Breaking It Down:

A bear market should not be confused with a correction, which is a short-term trend that has a duration of...

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Related to "Bear Market"


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Related Definitions

Bear Tack
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