panic selling

Selling Panic

The rapid selling of a security by a large number of investors. This increases the supply of the security available for sale while leaving constant or decreasing the demand to buy; this drives down the price. Selling panics occur for a number of reasons. For example, a stock may drop suddenly in price if its company issues an unexpectedly negative earnings report. The panic comes from investors' desire to sell the stock immediately before the price falls even more. See also: Buying panic, Sell-off.

panic selling

A flurry of selling in a particular security or in securities as a whole. Panic selling is accompanied by particularly heavy volume and sharp price declines as owners scramble to sell before prices drop even more. Panic selling is generally set off by an unexpected event viewed by traders as particularly negative. For example, uncertainty surrounding the outbreak of serious hostilities and a cutoff of oil supplies in the Middle East might be sufficient to cause panic selling.
References in periodicals archive ?
October 19, 1987: The UK stock market bottoms out after shares on Wall Street plummet after a wave of panic selling.
The Shanghai index recently lost all the gains it made in 2015, which sparked a round of panic selling by investors around the world.
Panic selling gripped US and European stock markets on Monday after Chinese shares sank deeper, posting their largest intra-day fall since 2007 on worries that the Asian powerhouse was in for a hard landing.
He added: "The massive drop in oil prices in the second half of 2014 negatively impacted investor sentiment and led to panic selling, which was not reflective of market fundamentals.
Markets around Europe plunged with the currency in panic selling, only to rebound as fears over the true impact of the move were allayed.
What we need now is something to stabilise the markets until the panic selling is over.
What we see is panic selling - people sell whatever they can irrespective of valuations," Shakeel Sarwar, head of asset management at Securities & Investment Co.
Dubai: Most stock markets in the Gulf fell sharply on Tuesday after oil prices hit five-year lows, triggering a fresh wave of panic selling of shares by local retail investors, though most fund managers and analysts think the region can cope comfortably with cheaper oil.
Oman and Kuwait, both of which rely on hydrocarbon revenues for a majority of their GDP, and UAE, home to the third-largest proven oil reserves in the GCC, witnessed panic selling as investors worried about a possible slowdown in government spending, which would affect corporate earnings going forward.
2% following a wave of panic selling across the Atlantic on Wall Street - that became known as Black Monday.
1987: The UK stock market bottoms out after shares on Wall Street, above, plummet following a wave of panic selling.
35 points, amid panic selling from foreign investors on mounting speculation of a planned US military strike in Syria.