tight market


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Tight market

A market in which volume is high, trading is active and highly competitive, and consequently spreads between bid and ask prices are narrow.

Tight Market

A market or security with high trading volume and a small bid-ask spread. However, an investor can profit in a tight market, especially if he/she trades large numbers of securities. When the bid-ask spread is narrow, an investor may have difficulty making more than a small return for each trade, but sheer numbers can make returns add to a substantial amount.

tight market

A market for securities in which competition is intense and spreads are narrow. In a tight market, dealers must make up in volume what they lose on a narrowing of the spread. Compare deep market, thin market.
References in periodicals archive ?
While some new supply sources are expected to ease the market somewhat by 2015, driven largely by new exporters from the US and Australia, analysts say that a rise in LNG demand of around 7 per cent a year until 2020 will still result in a tight market for most of the decade.
The transition to a tight market is usually caused by losses, and especially big loss events (like Hurricane Andrew).
By 2020, we will import 80% and that's in a tight market - Dr Graham Hillier, above, who heads up green energy research at CPI, left"
Almost immediately after hundreds of illegal workers were rounded up, creating an actual tight market, Swift & Company officials increased wages by $1.95 per hour to attract legal workers.
With a variety of land-use projects already under way, the easiest course is to defer the issue of residential land supply until later, while allowing the tight market to serve Eugene's goal of compact development.
This is a noticeable amount in an already tight market.
The joint venture could make restrict a tight market even further.
He said: 'We expect the tight market conditions to relax.
Massey Energy Inc., blaming tight market conditions and a reduced demand for coal, announced layoffs and production cutbacks in mid-January at its Sidney Resources subsidiary in Pike County, Ky.
Insurance executives are no longer counting on price increases and a tight market to provide the lift they need to hit growth and retention targets.
Says president Doo Young Chung, an solo open house could be perhaps more efficient in today's tight market. Chung, who had been with the international trading section of parent firm Hyundai Group, succeeds Young Park in the American office of Kia; Park left to head Doosan earlier this year.
This kind of diversification further demonstrates how we can capture market share during tight market conditions."