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weeeeeb [17]
2 years ago
6

Karen wants to buy stock, but is worried about the current "bear market." What does this mean?

Business
1 answer:
alexdok [17]2 years ago
7 0

Answer:

A.that many investors are selling their stocks in anticipation of lower profits

Explanation:

In stock market terminologies, a bear market is a selling market. If the traders' sentiments are to sell a stock, tell the market for the stock is referred to as a bear market.

Generally, when a company is performing well financially, its stock price will appreciate.  Investors will buy its stocks in anticipation of increased dividends and selling the stocks at a higher price. Should investors anticipate a loss, they will start selling the stocks. Karen is concerned with the current bear market as it signals the stocks are likely to yield reduced earnings.

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