Infographic of the Day: Is the Market Bubble Bursting?

August 5th, 2014
in News, econ_news, syndication

We need to learning from previous market movements, and try to predict the next big move.

Follow up:

Let’s look at historic bubbles to see what’s next.
What are bubbles and crashes?
Bubble: over-demand on a stock drive prices beyond actual worth based on performance of the underlying company.
Crash: Significant drop in the value of a market where a majority of investors are trying to flee the market.
–> Leading to: Panic selling, stocks lose value and investors lose money to invest in the future.
–> Often leads to a depression.
Stages of Bubbles:
1.) Stealth phase – “smart money” enters.
2.) Awareness phase – Institutions begin to invest.
3.) Mania Phase–Media broadcasts to general public who invest. Speculation rises, prices soar.

(click here for larger image)

Find more great infographics on NerdGraph Infographics



Make a Comment

Econintersect wants your comments, data and opinion on the articles posted.  As the internet is a "war zone" of trolls, hackers and spammers - Econintersect must balance its defences against ease of commenting.  We have joined with Livefyre to manage our comment streams.

To comment, just click the "Sign In" button at the top-left corner of the comment box below. You can create a commenting account using your favorite social network such as Twitter, Facebook, Google+, LinkedIn or Open ID - or open a Livefyre account using your email address.



Analysis Blog
News Blog
Investing Blog
Opinion Blog
Precious Metals Blog
Markets Blog
Video of the Day


Asia / Pacific
Middle East / Africa
USA Government

RSS Feeds / Social Media

Combined Econintersect Feed

Free Newsletter

Marketplace - Books & More

Economic Forecast

Content Contribution



  Top Economics Site Contributor TalkMarkets Contributor Finance Blogs Free PageRank Checker Active Search Results Google+

This Web Page by Steven Hansen ---- Copyright 2010 - 2016 Econintersect LLC - all rights reserved