What happens when liquidity goes down?
I'm wondering about the consequences when liquidity decreases in a market or a financial system. Specifically, what kind of impacts or changes can be expected when liquidity goes down?
How much liquidity should I have?
I'm trying to figure out the appropriate amount of liquidity I should maintain. I want to ensure I have enough to cover unexpected expenses while also not keeping too much cash that could be invested for better returns.
What increases liquidity?
I'm trying to understand what factors or actions can lead to an increase in liquidity. Whether it's in the context of financial markets, assets, or even businesses, I want to know what drives liquidity up.
What is lack of liquidity in trading?
I'm trying to understand the concept of lack of liquidity in trading. Could you explain what it means when a market or asset is described as having low liquidity?
What causes liquidity to increase?
I'm wondering about the factors that lead to an increase in liquidity. What are the specific reasons or conditions that can cause liquidity to rise in a market or financial system?