| 1. | Meteorology. any instrument that measures atmospheric pressure. Compare aneroid barometer, mercury barometer. |
| 2. | anything that indicates changes. |
An instrument that measures atmospheric pressure.
Note: In general, when the barometer falls in response to a drop in pressure, bad weather is approaching; when the barometer rises because of an increase in pressure, good weather will follow.
Barometer
An investment instrument whose movements forecast trends.
Investopedia Commentary
For example, a barometer stock has a price trend that is indicative of the market. And, the stock market as a whole is said to be a barometer because it can be used to forecast the growth or slowdown in the economy.
Related Links
Economic Indicators to Know
Cyclical Versus Non-Cyclical Stocks
See also: Bellwether, Coincident Indicator, Cyclical Stock, Indicator, January Barometer, Leading Indicator, Trend
barometer