Isaac Newton didn’t just buy the top in the South Sea bubble. He bought early, sold for a modest profit, then bought back in near the top after seeing others get rich, only to sell near the bottom for a loss of £20,000 (roughly £1.2 mil in 2021 adjusted for inflation).
The stock market is a generic term that describes markets in which shares of companies, commodities, and financial products are traded. The most well-known stock markets are the “exchanges” of “Wall Street”.
Oil prices went negative on April 20th, 2020. This essentially translated to oil producers paying buyers to take oil. This was the result of a lack of demand for oil causing a lack of storage / a fear of a lack of storage.
Options contracts represent the right to buy or sell an underlying asset, before an expiration date, once certain price conditions are met.
Anyone keeping money in a savings account should consider putting that money in a money market mutual fund, short term bond fund term, or other fund designed to be liquid and price stable.
Did “nothing” in particular just pop the “everything bubble?” I explore that idea and explain what I mean by it.
The Federal Reserve (Fed) has the power to adjust the interest rates that banks charge each other. This impacts rates charged to consumers and businesses. The Fed adjusts rates as a tool to ensure economic stability in the US.
Bitcoin and other cryptocurrencies look like they are in a bubble here in 2017, in terms of historic bubbles, but no one can predict the future.
A bear market is when prices on a market are moving down or expected to move down, a bull market is when they are going up or expected to go up.
We explain the Financial Crisis / Great Recession of 2007 – 2009 that began with the 2006 housing bubble, led to a recession in the U.S. by December 2007, and became a global crisis by 2009.