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Bear market
Glossaries
| Term | Main definition |
|---|---|
| Bear market | A period (such as the early 2000s and late 2000s) when the stock market experiences a strong downward swing. It is often accompa- nied by (and sometimes precedes) an economic recession. Imagine a bearin hibernation, because this is what happens in a bear market: Investors hibernate, and the market falters. During a bear market, the value of stocks can decrease significantly. The market usually has to drop at least 20 percent from its peak before it is considered a bear market.
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