By Johann M Cherian and Niket Nishant
Sept 2 (Reuters) - Everyone knows Wall Street calls a 20% drop in a major index a bear market. But what do you call it when the index posts big gains and losses practically every day and is still way up for the year?
That question is testing the limits of the market's most familiar vocabulary and prompting some to question whether a term like bear market really applies when tech indexes are red hot and constantly gyrating.
"It's kind of lazy nomenclature to be using on things that are that volatile," said Art Hogan, chief market strategist at B. Riley Wealth.
The Philadelphia SE Semiconductor Index, a benchmark for chip stocks, and South Korea's tech-heavy KOSPI both entered bear markets in July, based on the traditional measure. But even at their troughs, the indexes were still up 46% and 25%, respectively, for the year, thanks to triple-digit percentage gains over the past year.
#bear #Tech
Sept 2 (Reuters) - Everyone knows Wall Street calls a 20% drop in a major index a bear market. But what do you call it when the index posts big gains and losses practically every day and is still way up for the year?
That question is testing the limits of the market's most familiar vocabulary and prompting some to question whether a term like bear market really applies when tech indexes are red hot and constantly gyrating.
"It's kind of lazy nomenclature to be using on things that are that volatile," said Art Hogan, chief market strategist at B. Riley Wealth.
The Philadelphia SE Semiconductor Index, a benchmark for chip stocks, and South Korea's tech-heavy KOSPI both entered bear markets in July, based on the traditional measure. But even at their troughs, the indexes were still up 46% and 25%, respectively, for the year, thanks to triple-digit percentage gains over the past year.
#bear #Tech
19 hours ago
