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graveyard market

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Financial Dictionary

Graveyard Market

The period near the end of a prolonged bear market. In a graveyard market, long-time investors have taken large losses, while new investors prefer to stay liquid by sitting on the sidelines and keeping their money in cash or cash-equivalent securities until market conditions improve.

Investopedia Commentary

The term graveyard market is an apt description of this market phenomenon: the investors in a graveyard market can't get out of it, and the investors who aren't in it don't want to be.

Related Links

Digging Deeper Into Bull And Bear Markets
Haunting Wall Street: The Halloween Terminology Of Investing
The Dead Cat Bounce: A Bear In Bull's Clothing?

See also: Bear Market, Buy, Capital Loss, Cash And Cash Equivalents - CCE, Dead Cat Bounce, Depression, Liquidity, Recession

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Financial Dictionary

graveyard market

A declining market with low prices that discourage investors from selling and with little interest among investors to buy.

Wall Street Words: An A to Z Guide to Investment Terms by David L. Scott.
Copyright © 2003. Published by Houghton Mifflin.
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