cramerjohn004
108 posts
Nov 11, 2022
10:49 AM
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There is only one thing in the whole world that outdoes the 'ups n downs' of Life. That is the ups and falls of a stock market, for many people this connects directly to their workstation, job-models and career infrastructure. So, maybe this is not that different at all. If you scale through the business magazines flashing Sensex, Forex and all hard-up terms you will always find the term 'BEAR MARKET'. The question now is "What is a Bear Market?'.
Bear market is the condition which every company and stockbroker fears, when stock market diminishes, even beyond 20 percent it is called a 'Bear Market'. When there is an alarming level of fall in the stock prices, it usually is caused by the profit falls of a corporate industry, or for the fall to a more reasonable price in fear of the substitution effect. It is the exact contradiction of Bull Market. The huge chain of investors sell off their shares either afraid of lesser earnings or by the lofty prices they have now. This causes the price to drop at a sharp degree, resulting in more investors to share the same panic and sell off their stocks as well; thereby creating an enormous vicious circle.
In the 1970's there was another thing creating havoc more than Beatles, it was the steady fall of stocks which continued for an entire decade. The incidents like this scare away most of the investors and there are more rare chances of a new investor to invest on stock market. It is an apathy that this awkward situation is what keeps The unit trust Bear Market running, there is less or no buyers at all who would buy the investments, therefore the selling-spree continues.
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