Capitulation

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Capitulation

A situation in which a market gives back many or all of its previous gains. That is, prices drop significantly during a capitulation. Some investors believe that capitulation is an opportunity to buy because some securities tend to drop too much and will eventually recover nicely. However, capitulation can result in significant losses to those who already own the securities involved.
References in periodicals archive ?
Any previously existing fiscal immunity "was a right of a capitulatory character." (35) Consequently, such immunity "can no longer be invoked by the United States by virtue of a most-favored-nation clause." (36) While the U.S.
Obama's reconciliatory, if not capitulatory approach offers Sudan's government an opportunity to make compromises without loss of face.
He similarly claims that "Russia had the least to lose from an end to the capitulatory system" (extraterritorial privileges granted by the Ottomans to Europeans living and working in the Ottoman empire), since Russia's "economic penetration of the Ottoman Empire had been so shallow" (106).