Rebound: Definition, Causes, and Historical Examples
What is a Rebound in Finance? In finance and economics, a rebound refers to a recovery from a previous period of negative activity or losses—such as a company posting strong results after a year of losses or introducing a successful product line after struggling with a false start.
In the context of stocks or other securities, a rebound means that prices have risen from lower levels.
In general economics, a rebound means that economic activity has picked up from lower levels, such as a recovery after a recession.
Key Takeaways A rebound occurs when an event, trend, or security changes direction and moves up after a period of decline. A company might report strong earnings in its fiscal year after a loss the previous year, or a successful product launch after several failures. In the context of the stock market, a rebound can mean a day or period of time in which a stock, or the stock market as a whole, recovers after a sell-off. In economics, a rebound is part of the normal business cycle that includes expansion, peaks, recessions, troughs, and recoveries.
#ChristmasMarketAnalysis Crypto markets are in turmoil, with steep declines in major assets like Bitcoin and Ethereum since Dec. 18, 2024. The downturn began immediately after the Federal Reserve’s FOMC meeting, where policymakers issued a cautious statement about monetary policy and Jerome Powell, the Fed Chair, provided remarks that spooked markets. Jamie Coutts, the Chief Crypto at Real Vision, explains how tightening liquidity and macroeconomic factors are driving the sell-off.
The Federal Reserve’s decision to lower the federal funds rate by 0.25 percentage points on Dec. 18 initially seemed like a dovish move. However, the accompanying statements painted a different picture. Powell emphasized that while inflation has eased significantly, it remains above the Fed’s 2% target. He explained that the Fed’s policy rate—now at 4.25%-4.5%—remains “meaningfully restrictive” and that future rate cuts would slow unless there was “further progress on inflation.”
Powell’s comments about the economy’s strength, combined with projections of only two additional cuts in 2025, signaled that the Fed intends to maintain tighter liquidity conditions longer than markets had hoped. This tone sharply contrasted with expectations of a more aggressive easing cycle, catching investors off guard and leading to immediate selling pressure across risk assets, including a theme he’s been discussing since early December. According to Coutts, liquidity has been contracting for two months, driven by shrinking central bank balance sheets and rising bond market volatility. These conditions are unfavorable for risk assets, which rely heavily on abundant liquidity to sustain demand. Coutts highlights that cryptocurrencies, especially Bitcoin, are particularly sensitive to liquidity changes. Historically, Bitcoin has struggled during periods of tightening financial conditions. The Fed’s cautious messaging amplified existing concerns, leading to accelerated outflows from crypto markets. As Coutts notes, this is a delayed reaction to the liquidity tightening trend.
Braking News 🚨 🚨 House Rejects Trump-Backed Plan on Government Shutdown, Leaving Next Steps Uncertain...
In a dramatic turn of events, the U.S. House of Representatives recently voted against a government shutdown plan endorsed by newly elected President Donald Trump. The proposal, aimed at averting a government shutdown, failed to garner enough support, leaving lawmakers scrambling for alternative solutions as the deadline looms.
Trump had urged Republican lawmakers to back the plan, which included significant cuts to federal spending, in exchange for a temporary halt to the shutdown threat. However, the proposal faced stiff opposition from both Democrats and moderate Republicans, who expressed concerns over the long-term impact on government services and federal workers.
With no clear resolution in sight, the rejection of this Trump-backed plan has intensified pressure on Congress to find common ground. Lawmakers are now racing against the clock to negotiate a spending deal that will prevent a shutdown while addressing the broader issues of government funding, immigration, and fiscal policy.
As the deadline nears, uncertainty remains over what direction Congress will take. The rejection of Trump’s plan signals the deep divisions within the Republican Party and sets the stage for further political maneuvering as both parties seek to avoid the economic and political fallout of a government shutdown.
Unlucky day for me I was holding $usual from $.65 for 1 week but unlucky me couldn’t make profit from it ..when I sell it it’s become rising .and then I again buy it on $1.2 and it’s become falling. And then I sell it on $ 1.4 and again it’s up for $2 ..what a bad luck 😓 Hopefully you guys make profit 👍🏻 Good luck for $USUAL
It means SESSION Changed from the previous session
come on follow me so that you don't expect continuous profit but there are times when we stop for a moment and play with fire on those who still have matches
I am not interested at all in web3 on binance although there are some tokens with big profits but I am not interested at all, there are so many Airdrops Airdrop by buying certain tokens and after buying the price drops
that is the weakness of Airdrop after buyers flow like water the price continues to drop
where buyers and sellers are not balanced buyers have a fever or are sick and are not interested in buying
FLOKI owners also have a fever or are sick when they see the red chart crawling down Finally sell again
the next day it's like that the next day it's like that again buy high sell low continuously until the saturation point is reached, then the price returns to normal