What is a 'Sell-Off'?

A sell-off is rapid selling of securities, such as stocks, bonds and commodities which leads to a decline in the value of the security. ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌

| Term of the Day Sell-Off A sell-off is the rapid selling of securities such as stocks, bonds, ETFs, commodities or currencies. A sell-off may occur for many reasons, such as the sell-off of a company's stock after a disappointing earnings report, the departure of a important executive or the failure of an important product. Markets and stock indexes can also sell-off when interest rates rise or oil prices surge, causing increased fear about the energy costs that companies will face. Sell-offs can also be caused by political events, or terrorist acts. Breaking it Down: All financial trading instruments have sell-offs. They are a natural occurrence from profit-taking, short-selling or... Read More » Related to "Sell-Off" How To Spot A Sell-Off The ability to identify a sell-off can be an extremely reliable resource to have in a time of market uncertainty. Read More » How can I calculate the expected return of my portfolio? To calculate the expected return of a portfolio, an investor needs to add up the weighted averages of each of the investor's securities' expected returns. Read More » Profiting in bear and bull markets There are many ways to profit in both bear and bull markets. The key to success is using the tools for each market to their full advantage. Read More » PRESENTED BY MORNING BREW Become smarter in just 5 minutes Business news doesn't have to be dry and dense...make your mornings more enjoyable, for free. Check it out » Related Definitions Correction A correction is a reverse movement, usually negative, of at least 10 percent in a stock, bond, commodity or index to adjust for an overvaluation. Read More » Bear Market A bear market is a market in which securities prices fall and widespread pessimism causes the negative sentiment to be self-sustaining. Read More » Buy a Bounce Buy a bounce is a strategy that focuses on buying a given security once the price of the asset falls toward an important level of support. Read More » Hedge A hedge is an investment to reduce the risk of adverse price movements in an asset. Read More » CONNECT WITH INVESTOPEDIA Email sent to: mondemand.forex@blogger.com To update your newsletter preferences or unsubscribe, click here. 114 West 41st St, floor 8 New York NY 10036 © 2019, Investopedia, LLC, All Rights Reserved | Privacy Policy