UK Accounting Glossary
Bears are stockmarket animals who just happen to be pessimists – reckoning that share prices (or any other type of investment) are going to fall. So a City dealer who holds shares in XYZ plc will want to dispose of his holding, before the price falls.
Bears, like ‘bulls’, drive the market. Because of the herd instinct and a fear of being left out, the stockmarket often over-reacts, rising further than would seem justified.
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This glossary post was last updated: 15th February 2020.