#MarketTurbulence refers to rapid, unpredictable fluctuations in asset prices driven by economic uncertainty, geopolitical events, interest rate shifts, or investor sentiment changes. During turbulent periods, volatility rises sharply, with sharp gains often followed by steep losses. Traders may experience heightened risk as liquidity tightens and bid–ask spreads widen. Factors such as inflation concerns, corporate earnings surprises, or global crises can intensify instability. While turbulence can create anxiety and losses for unprepared investors, it also presents opportunities for those skilled in timing the market. Effective risk management and diversification become essential tools to navigate such unpredictable and unstable financial conditions.
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