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Bull market

A bull market is a financial market where prices of instruments ( e.g. stocks ) are, on average, increasing.

Investors might thus depend to a certain extent upon the market continuing to rise and are thus motivated to buy stock in anticipation of capital gains[?]. A bear market may be fueled by sound economic fundamentals or by speculation. Speculation that is not based on sound economic fundamentals can result in stocks being over-valued. An exaggerated bull market fueled by speculation is called a stock market bubble.

The opposite of a bull market is a bear market where the market is falling.

See also: Stock market, Financial market



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