#MarketTurbulence **Market Turbulence: Short Notes**

- **What is it?** Market turbulence is when prices of stocks, bonds, or other assets change a lot in a short time, often unpredictably.

- **Why does it happen?**

- Economic news (e.g., inflation, interest rate changes).

- Global events (e.g., wars, pandemics).

- Investor panic or excitement.

- Big trades by companies or institutions.

- **Key signs:**

- Prices go up or down quickly.

- More trading than usual.

- Investors feel uncertain or scared.

- **Impacts:**

- Can create opportunities to buy low or sell high.

- Risk of losing money if prices drop suddenly.

- Affects investor confidence.

- **How to handle it?**

- Stay calm, avoid panic selling.

- Diversify investments to reduce risk.

- Focus on long-term goals.

- Keep updated with reliable news.

- **Example:** Stock market drops due to sudden bad economic data, but recovers after clear government action.

*Note:* Markets can be bumpy, but understanding the basics helps you stay steady!