Bear Market

Bear Market

A bear market is a general decline in the stock market over a period of time. It is a transition from high investor optimism to widespread investor fear and pessimism, leading to selling and holding of stocks.

The terms bull market and bear market describe upward and downward market trends, respectively, and can be used to describe either the market as a whole or specific sectors and securities. A bear market that followed the Wall Street Crash of 1929 erased 89% of the Dow Jones Industrial Average’s market capitalization by July of 1932, marking the start of the Great Depression.

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