A sell-off is a rapid selling of securities, such as stocks and bonds, which leads to a decline in their price.
| Sell-Off | A sell-off occurs when a large volume of securities are sold in a short period of time. Due to the law of supply and demand, this causes a corresponding decline in the price of the security.
There are several potential causes of a sell-off. In the stock market, common causes include the release of disappointing earnings reports, fears of increased competition, or the threat of technological disruption. Broader causes, such as macroeconomic concerns or natural disasters, can also trigger sell-offs.
Although sell-offs are dramatic to behold, they are generally short-lived declines which stabilize or reverse themselves relatively quickly. | Read More » | When to Sell a Stock | There are three good reasons to sell your shares and many more bad reasons. Here's how to tell when to hold them and when to fold them. | Read More » | | SPONSORED BY INVESCO | The Complete Guide to ETFs | ETFs are becoming increasingly popular and soaring to new heights among investors. Invesco's insights can help you determine if these investment vehicles are right for you. | Learn More » | | Sucker Rally | A sucker rally refers to an unsupported price increase in an asset or market amidst an overall downward trend. The rally ends and the price resumes falling. | Read More » | | Macroeconomics | Macroeconomics studies an overall economy or market system: its behavior, the factors that drive it, and how to improve its performance. | Read More » | | Rebound | In financial terms, a rebound means a recovery from prior negative activity. For a security, a rebound means that it has moved higher from a lower price. | Read More » | | | | | CONNECT WITH INVESTOPEDIA | | | | | |
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