What is a 'bull' and 'bear' in the stock market?

In the investing world, the terms "bull" and "bear" are frequently used to refer to market conditions. These terms describe how stock markets are doing in general—that is, whether they are appreciating or depreciating in value. And as an investor, the direction of the market is a major force that has a huge impact on your portfolio.

What is the difference between a bull and a bear?

Bears. Bulls. Two big, scary mammals that serve as Wall Street shorthand for the stock market’s general mood. Bear = pretty much everyone’s selling. Bull = pretty much everyone’s buying. This week, US stocks fell into a “bear” market, dropping more than 20% from their most recent peak in early January.

Where did the term 'bear' and 'Bull' come from?

Interestingly enough, the actual origins of these expressions are unclear. Here are two of the most frequent explanations given: The terms "bear" and "bull" are thought to derive from the way in which each animal attacks its opponents. That is, a bull will thrust its horns up into the air, while a bear will swipe down.

What is a bull/bear index?

The bull/bear index reflects the aggregate sentiments of financial advisors and planners who deal daily with the market. It reflects how well-informed professionals feel about the stock market and how they likely advise their clients to invest based on those feelings.