markets

bear market

A market condition in which prices are falling or expected to fall, typically by 20% or more from recent highs.

Example

"During the bear market of 2022, many tech stocks lost more than half their value."

💡 Memory Tip

A bear swipes DOWN with its claws. Bear market = prices going down.

Etymology

From the saying 'selling the bear's skin before catching the bear' — early traders who sold shares they didn't own yet, betting prices would fall.

Common Misspellings

bare marketbeer marketbear markit

Related Terms

bull marketrecessionshort selling

See Also

correction

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