vv 40 – financial english vocabulary: stocks and shares (part 2)
TRANSCRIPT
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Each stock trades at a specific price, which is what you pay to buy each share.
to trade at
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example:“S u t t e r G o l d i s c u r re n t l y trading at $130 per share, but that pr ice is expected to drop.”
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Stock prices continually change, but at the end of the trading day they close at a specific price.
to close at
example:
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“Gator Industries share price climbed from $9 to $13 by noon but eventual ly closed at $11.”
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short sellingShort selling is when an investor tries to make money on a stock that he thinks will go down.
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short sellingTo do this, he borrows shares, sells them, and then buys them back at the lower price.
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example:“S h o r t s e l l i n g i s a r i s k y strategy because if a stock p r i c e a c t u a l l y r i s e s , t h e investor might lose money.”
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Using very fast computers to analyse stock trades and automatically sell or buy stocks based on very small fluctuations in the price.
flash trading
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example:“Many people believe that f lash trading gives certain traders unfair advantage and influence.”
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bear marketBear markets happen because investors lose confidence, become nervous, and sell stocks.
example:
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“My financial advisor has warned me that the bull market will end soon and to be cautious.”
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Considered a safe investment, a blue chip stock is the stock of a large & stable company.
blue chip
example:
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“Half of my stock investments are in blue chip companies, while the other half is in new tech companies.”
exampleFor example, if you hear…
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I am going to call my
<beep> and ask him to sell my shares in Apple.
exampleYou can say ...
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I am going to call my
stockbroker and ask him to sell my shares in Apple.