Bear Markets Comparison Chart
A Bear Market is a prolonged period in which investment prices fall, accompanied by widespread pessimism. As investors anticipate losses in a bear market and selling continues, pessimism only grows. Bear Markets usually occur when the economy is in a recession and unemployment is high, or when inflation is rising quickly.
The most famous Bear Market in U.S. history was the Great Depression of the 1930s.
Although figures can vary, for many, a downturn of 20% or more in multiple broad market indexes, such as the Dow Jones Industrial Average (DJIA) or Standard & Poor’s 500 Index (S&P 500), over at least a two-month period, is considered an entry into a Bear Market.
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by JP Koning