Market Bubbles and the Big Picture
A basic characteristic of financial bubbles, Troy Segal wrote recently in Investopedia, is the suspension of disbelief while a speculative stock price surge is happening. It’s only after a bubble has burst that it is recognized, much to investors’ chagrin. The term “bubble” itself refers to a situation in which a stock, or even the entire stock market, exceeds its fundamental value by a large margin, Segal explains. There’s no doubt that the advent of commission-free investing apps such as [...]
