The term 'above par' refers to a situation where a security, typically a bond, is trading at a price above its face value or par value. This can indicate a strong demand for the security and may reflect favorable market conditions or high credit quality of the issuer.
A bear market is a prolonged period during which investment prices fall and widespread pessimism causes the negative sentiment to be self-sustaining. A bear market typically describes a condition where security prices fall 20% or more from recent highs.
The term 'immediate run' refers to a period of time in which firms in an industry cannot make any adjustments in response to changes in market conditions, often due to the constraints posed by the extremely short duration.
A seller's market is a situation where demand for a security or product significantly exceeds its supply, leading to rising prices and allowing sellers to set both prices and terms of sale.
A shakeout is a market phenomenon where weaker or marginally financed participants are eliminated due to changing market conditions. In financial markets, it often results in speculators being forced to sell their positions, typically at a loss.
A market in which demand has shrunk, or supply has grown faster than demand, making sales at reasonable prices more difficult, commonly referred to as a buyer's market.
Stickiness refers to the phenomenon where certain economic variables, such as prices and wages, remain fixed or adjust slowly in response to changes in market conditions. This often results in wages and prices being 'sticky downward.'
Supply Chain Management (SCM) involves tracking the movement and demand for components used in manufacturing across various suppliers to provide insight and the ability to respond promptly to changes. SCM aims to optimize production, decrease manufacturing time, minimize inventory, streamline order fulfillment, and reduce costs.
A tight market refers to a marketplace characterized by active trading and narrow bid-offer price spreads. This is in contrast to a slack market, which features inactive trading and wide spreads.
