Recent Examples of bull market from the Web
As the year ends, the bull market promises to deliver additional billion-dollar endowments, given that investment returns averaged 13.2 percent for the year ended June 30.
But analysts see several reasons this bull market isn’t ready for retirement.
History shows rising stocks with mojo on their side tend to keep rallying when bull markets are in their later stages — like the current one, which is nearly 9 years old.
The long-running bull market for U.S. stocks continued in 2017, and the shares of many Charlotte companies went along for the ride.
But nothing slowed the nearly 9-year-old bull market in stocks, now the second-longest on record.
But lately, daring, animal spirits and greed have supplanted fear as the bull market powers toward its ninth year.
Until then, investors are right to fret about the bull market’s staying power.
Christopher Grisanti, founder at Grisanti Capital Management, looks at the boom of tech stocks helping drive a bull market and looks at growth stocks vs. value stocks.
These example sentences are selected automatically from various online news sources to reflect current usage of the word 'bull market.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.
First Known Use of bull market
Financial Definition of BULL MARKET
What It Is
A bull market is a period of several months or years during which asset prices consistently rise. The term is usually used in reference to the stock market, but it can describe specific sectors such as real estate, bonds or foreign exchange. It is the opposite of a bear market, in which securities prices consistently fall.
How It Works
Identifying and measuring bull markets is both art and science.
One common measure says that a bull market exists when at least 80% of all stock prices rise over an extended period. Another measure says that a bull market exists if market indices rise at least +15%. Of course, different market sectors may experience bull markets at different times.
The causes and characteristics of bull markets vary, but most financial theorists agree that both economic cycles and investor sentiment both play a role in the creation and momentum of bull markets. In general, a strong or strengthening economy, indicated by high employment, high disposable income and high business profits usually ushers in a bull market.
Rising investor confidence also indicates a bull market and is perhaps more powerful than any economic indicator. When investors believe something is going to happen (a bull market, for example), their actions can turn it into a self-fulfilling prophecy. Although difficult to quantify, investor sentiment can show up in mathematical measurements like the put/call ratio, the advance/decline line, IPO activity and the amount of outstanding margin debt.
Why It Matters
Regardless of their exact beginnings and ends, bull markets typically have four phases.
In the first phase, prices are low, investor sentiment is low, and investors are pessimistic about future prices. In the second phase, stock prices, trading activity and corporate earnings begin to increase and economic indicators are above average. Investor sentiment also gets more optimistic.
In the third phase, market indexes and many securities reach new trading highs. Trading activity continues to increase, and dividend yields reach historic lows. In the fourth and final phase, there is excessive IPO activity, trading activity and speculation. Stock P/E ratios are also at historic highs. As investors take profits or react to bad news or negative indicators, bull markets generally unravel.
Bull markets usually present a multitude of moneymaking opportunities for investors because prices generally rise across the board. But bull markets don't last forever and they don't always give advance notice of their arrival, so the investor must know when to buy and when to sell to maximize his or her profits. This means the investor must attempt to time the market, or gauge when a bull market has begun and when it is ending.
Analysts spend thousands of hours trying to determine what will trigger the next bull market and how long it will last. Technical analysis is especially prevalent in this effort, although less sophisticated indicators such as hemline fashions or the NFL division of the last Super Bowl winner also provide fodder for such predictions.
For details on the history of the words that describe market trends, read The Quirky And Brutal Origins Of The Terms 'Bear' And 'Bull.'
BULL MARKET Defined for English Language Learners
Definition of bull market for English Language Learners
: a market (such as a stock market) in which prices are going up
Seen and Heard
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