What causes market fluctuations?
Market fluctuations are caused by various factors including economic data, investor sentiment, geopolitical events, and market speculation.
Can you explain how investor sentiment affects the market?
Investor sentiment can drive market trends; positive sentiment can lead to buying sprees, while negative sentiment can trigger sell-offs.
What role do economic indicators play in market fluctuations?
Economic indicators like GDP growth, unemployment rates, and inflation can signal the health of the economy, influencing investor decisions.
Are there specific events that typically cause significant fluctuations?
Yes, events like earnings reports, central bank announcements, and major political developments often lead to significant market movements.
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