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Showing posts with the label Abandonment

What is the Consumer Price Index (CPI)?

What is the Consumer Price Index(CPI)? The Consumer Price Index (CPI) is a measure of the change in prices paid by consumers for a basket of goods and services. It is one of the most widely followed economic indicators, and it is used by investors to gauge inflation and make investment decisions. How is the CPI calculated? The CPI is calculated by the Bureau of Labor Statistics (BLS). The BLS surveys households across the United States to collect data on the prices they pay for goods and services. This data is then used to create a "basket" of goods and services that represents the spending habits of the average American household. The BLS calculates the CPI by comparing the prices in the basket of goods and services in a given month to the prices in the same basket of goods and services in a base year. The base year is usually 2000. How does the CPI affect investing? The CPI is an important indicator of inflation. When the CPI rises, it means that the cost of living is incre
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What 'Abandonment' Means and How It Works in the Stock Market

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'Abandonment' in the stock market Have you ever heard of the term "abandonment" in the stock market? It refers to a situation where investors stop investing in stocks due to conflicting sentiment or external factors. These abandonments are very helpful in understanding how the stock market moves. Today, let's take a look at "abandonment" in the stock market and analyze how it happens and how investors' sentiment changes. Duration correction and abandonment A timeframe correction is when a stock price doesn't change much over a long period of time or declines slowly. In this situation, investors gradually get tired and abandon their investments. When investors abandon their investments, the stock market becomes less valued and more attractive. Take the correction from 2000 to 2003 as an example: there were many events during this period, but investors got tired and abandoned their investments one by one. The result was a nearly five-year bull mark
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