asset bubble
1 of 1noun/ˈæsɪt ˈbʌbəl/
Forms:asset bubbles
1
a situation in which the prices of assets, such as stocks, real estate, or commodities, become significantly inflated beyond their intrinsic value due to speculative investing or market hype
- During the dot-com boom of the late 1990s, many technology stocks experienced an asset bubble.
- The housing market in several countries experienced an asset bubble in the mid-2000s, leading to a widespread housing crisis.
- Investors scrambled to sell their holdings before the asset bubble burst, fearing significant losses in their portfolios.
- Economic analysts warn that the current surge in commodity prices could be indicative of an asset bubble forming in global markets.