Especially in the developing

Bull market When the market moves consistently in any direction it is considered a market rally. The longterm bull market in stocks has been largely driven by expansionary demandoriented policies such as lower interest rates and large tax cuts. Governments can also spend a lot of money on infrastructure schools and health centers to help their countries prosper. The high level of income resulting from such an expansionary policy provides enough money to invest in the stock market which leads to an increase in stock prices due to an increase in speculative demand. The impact of the bull market on the country A booming economy fueled by significant monetary or fiscal stimulus generates large incomes for residents and increases demand for the countrys goods and services.

Individual speculative expenses also increase reflecting an Brunei Email List upward trend in the average share price of listed assets. Positive stock market performance increases current valuations by providing sufficient cash flow for qualified public limited companies. The result is high employee turnover which increases overall productivity. Due to this increase in productivity the countrys GDP defined using the market value of all goods and services produced in the economy increases. On the demand side higher rates offset the increase in supply by increasing labor productivity and raising the standard of living of residents.



This will contribute to the longterm growth of the countrycountries reducing unemployment and poverty. Examples. Bull market One of the oldest bull markets was the postWorld War II rally that lasted from June to August . During that time the SP gained over months. One of the most famous examples of a bull market in modern American history occurred in at the end of the stagflation era. It ended in with the dotcom crash. It was a sustained bull market and during it the DJIA returned an average of per year. The NASDAQ also quintupled in value between and . A bear market from to followed a financial bull market from to . Then on March the bull market started again due to the rise of technology stocks. The housing market saw a bull run in the real estate sector during the housing boom from October to October.