buying panic


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Buying Panic

The rapid buying of a security by a large number of investors. This decreases the supply of the security available for sale and therefore drives up the price. Buying panics occur for a number of reasons. For example, a stock may rise suddenly in price if its company issues an unexpectedly positive earnings report. The panic comes from investors' desire to buy into the stock immediately before the price rises even more. See also: Panic sale, Sell-off.

buying panic

A period of rapidly rising stock prices on very high volume as investors, speculators, traders, and institutions attempt to establish investment positions without regard to price. Buying panics occur when individuals and institutions believe they must buy securities at once before prices rise further. Compare selling panic.
References in periodicals archive ?
The lobby said it was prepared to re-create the week-long protests of September 2000 which caused shortages and buying panic at the pumps.
The lobby said it was prepared to recreate the week-long protests of September 2000, which caused shortages and buying panic at the pumps.
"In other words, we've had a bit of a buying panic, which has pushed prices well beyond what they need to be, so to speak, for demand to be satisfied and for the supply-demand curve to intersect," Jaffre says.
A buying panic in large capitalizations stocks ensued.