Title: Why Is Bond Market Falling
Headings: Why Is Bond Market Falling
Why Is Bond Market Falling
Content: Knowing these things allow investors to take appropriate actions so that they do not face severe losses. However, the bond market does not have a safety feature that prevents large sell offs. The reason behind is that the market is more volatile that the stock market. Being a bond holder when the bond market is on a decline is one of the worst things that can happen to an investor. The investor keeps losing money by the second in a falling market. If you financial advisor is inexperienced, you will become aware of the falling bond market through your statement. You have to remember that when the bond market falls, the first to get affected are utility companies, gas companies and electric companies. When there is rumor of recession or inflation, bond prices always take a dip. Individual bonds are also influenced by credit and interest rate risks. When a bond’s credit rating is lowered, the price of a bond decreases significantly.