Recession

Tag: Recession

Recession is an economic downturn in which a country experiences a significant decline in economic growth over a period of time. It is often accompanied by a decrease in spending, high unemployment, and reduced wages. Recession can happen for a number of reasons such as decreased government spending, decreased consumer and business confidence, low wages, and unavailability of credit. During a recession, governments can provide stimulus packages to help mitigate the effects of the downturn. Individual citizens can also take steps to protect their finances by finding new sources of income, budgeting, and working to maintain good credit.

Categories: Market

2008 Housing Market Crash and its Implications for Forex Trading

by Lena K. BradleyAugust 25, 2023

The 2008 housing market crash was one of the most devastating financial disasters in modern history. After rising steadily for years, housing prices across the United States began to fall in 2007, leading to a dramatic collapse of the housing market. The effects of the crash were felt around the world, as the global financial crisis led to extreme drops in stock markets, housing prices, and investment markets. Many investors suffered massive losses and struggled to recover. Additionally, the crash of the housing and mortgage market had a significant impact on the global foreign exchange (forex) market as currency values declined rapidly, and investors were forced to adopt more risk-averse strategies. In the aftermath, forex traders shifted their focus to high-yield, low-risk investments, and as a result, the volatility of currency pairs decreased significantly.