Wall Street Slips Into A Bear Market; Here’s What That Means

The video discusses the recent downturn in the stock market, with the Dow Jones and S&P 500 experiencing significant declines, entering bear market territory. It highlights the broader impact on the economy, including hiring and firing decisions by companies. The Federal Reserve's meeting and anticipated interest rate hikes are covered, aimed at controlling inflation, which is rising at its fastest rate since 1981. The video also touches on the political implications of the economic situation. Definitions of bull and bear markets are provided, and the performance of companies like Coca Cola, McDonald's, and Domino's is analyzed. Despite the downturn, there is some optimism as stock futures rise.

What is the significance of the S&P 500 entering bear market territory?

• It indicates a 10% drop in stock prices.

• It signifies a 20% decline from a recent high.

• It means the economy is growing.

• It shows a 5% increase in stock prices.

How do companies typically respond to stock market performance?

• By reducing their marketing budget.

• By adjusting hiring and firing decisions.

• By expanding their business operations.

• By increasing product prices.

What is the Federal Reserve expected to do to combat inflation?

• Eliminate interest rates.

• Maintain current interest rates.

• Increase interest rates.

• Decrease interest rates.

What defines a bull market?

• A 20% increase in stock prices.

• A 5% decrease in stock prices.

• A 10% increase in stock prices.

• A 15% decrease in stock prices.

Which company showed resilience by only falling 0.1% during the market downturn?

• Pepsi

• Coca Cola

• Domino's

• McDonald's