Thursday

STOCK MARKET TERMINOLOGY

The following text describes the current stockmarket turmoil. The words in bold are often used to describe negative trends. Don't understand something ? Just click on 'Commentaires' and ask us to explain.

Since the beginning of the year, stock markets across the globe have fallen sharply. Indeed, in the US, the equity markets have dropped considerably and the European indices have also declined steeply. Certain stocks have decreased dramatically, while others are down only slightly. The financials have been hit particularly hard as the fallout from the US sub-prime crisis continues to be felt. The fact that the extent of losses has yet to be established has led to considerable bearishness among investors. Although it would be untrue to say that the bottom has fallen out of the markets, specific stocks have plummeted amid the prevailing uncertainty and fears about potential sub-prime losses and the downturn of the US economy.