
Bear Market
A bear market is a period characterized by a sustained decline in the stock or commodity market. It is typically defined when a stock, commodity, or overall market index falls by 20% or more from its most recent highs. Bear markets are often associated with poor economic conditions, such as slowing growth, rising unemployment, or negative investor sentiment. During a bear market, investor confidence is low, and there may be widespread pessimism about the market's future performance, leading to further declines. Bear markets can affect individual stocks, sectors, or entire economies.
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