Stories On Stock Market Failure

Stock market is aggregation of buyers and sellers’ stocks. The stocks are listed in the stock exchanges as securities. Stock exchange is a place of trading the stocks or the shares. The large companies will list their stocks in all the stock exchanges across the world. Nestle and Novartis are based in Switzerland but their stocks are listed in all over the world. The stock market was worth of 55 trillion USD at the end of 2012. In 2013 it went up even higher. Trading in the stock market involves the price for the buyers, and the sellers are agreeing over the shares. The participant can be anyone from a small retailer to a bigger corporate. The stock exchanges can be performed either manually as oral outcry or by electronically. In New York Stock exchange the verbal bids are made for the exchange whereas in NASDAQ the trade exchange is done through the computers and networks.

The stock market is an important option for the companies to raise money to extend their business or expand their business. Selling the company’s stocks to the public as shares can raise the money.

Failure of Stock market

There are several stock market crashes recorded in the past. The 1929 stock market crash has stunned the world. The worst economic crisis occurs due to the stock market crash. The life of several people and the standard of living were gone down due to the crash. There is one more crash everyone could remember is the 1999 crash. The dot.com crash, it is due to the false hype to the companies working on Internet and software. Failure of stocks in the stock exchanges will lead to the company closed down. The company named Scient; an Internet consultant company had its price as 133.57 USD in 1999. Exactly a year after, the company’s price had gone down to 2.93 USD. This kind of stock failure will hit the participants very badly.

There are several people warning for another crash of stocks in 2014. It was earlier mentioned in 2012. But three experts, according to Bidnessetc.com, are assuring the stock crash on 2014. Harry Dent has given the warning in 2012 but now he pulled back the earlier statement buy confirming the new one. According to him the hit will be like the one faced in 2008-2009, and it will be worst. Gerald Celente, a Trend forecaster predicted the crash due to the bad policy makers. He warns the Americans about the unemployment. The public is slowly growing with the anti-governmental ideas and Social unrest. This will lead to another economical 9/11 for the Americans. Robert Prechter warns the people about the financial situation at present. According to him the current financial status reminds the great depression days of America. Even a brief recovery may be a failure this time. The ballooning debt and the divide of haves and have-nots are leading to the gradually weaker economy of America. Therefore, the in depth research and tips on investing in stock market is important, which can be consulted from an authentic financial news platform called Bidnessetc.com.