Speculation

speculatorland speculationspeculatorsspeculativeland speculatorspeculatingspeculatecurrency speculationspeculatedland speculators
Speculation is the purchase of an asset (a commodity, goods, or real estate) with the hope that it will become more valuable in the near future.wikipedia
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Futures contract

futuresfutures contractsfutures trading
Speculators are particularly common in the markets for stocks, bonds, commodity futures, currencies, fine art, collectibles, real estate, and derivatives.
However, futures contracts also offer opportunities for speculation in that a trader who predicts that the price of an asset will move in a particular direction can contract to buy or sell it in the future at a price which (if the prediction is correct) will yield a profit.

Economic bubble

bubblespeculative bubblebubble economy
Speculation is often associated with economic bubbles.
Many explanations have been suggested, and research has recently shown that bubbles may appear even without uncertainty, speculation, or bounded rationality, in which case they can be called non-speculative bubbles or sunspot equilibria.

Arbitrage

arbitrage-freeregulatory arbitragearbitrageur
Speculators play one of four primary roles in financial markets, along with hedgers, who engage in transactions to offset some other pre-existing risk, arbitrageurs who seek to profit from situations where fungible instruments trade at different prices in different market segments, and investors who seek profit through long-term ownership of an instrument's underlying attributes.
In this form of speculation, one trades a security that is clearly undervalued or overvalued, when it is seen that the wrong valuation is about to be corrected by events.

Market liquidity

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Another service provided by speculators to a market is that by risking their own capital in the hope of profit, they add liquidity to the market and make it easier or even possible for others to offset risk, including those who may be classified as hedgers and arbitrageurs.
Speculators and market makers are key contributors to the liquidity of a market or asset.

Derivative (finance)

derivativesderivativefinancial derivatives
Speculators are particularly common in the markets for stocks, bonds, commodity futures, currencies, fine art, collectibles, real estate, and derivatives.
Forwards, like other derivative securities, can be used to hedge risk (typically currency or exchange rate risk), as a means of speculation, or to allow a party to take advantage of a quality of the underlying instrument which is time-sensitive.

Volcker Rule

The Volcker RuleVolcker
Another part of the Dodd-Frank Act established the Volcker Rule, which deals with speculative investments of banks that do not benefit their customers.
The rule was originally proposed by American economist and former United States Federal Reserve Chairman Paul Volcker to restrict United States banks from making certain kinds of speculative investments that do not benefit their customers.

Tobin tax

global taxTobin-style taxes
This dissuades speculators as many investors invest their money in foreign exchange on a very short-term basis.

Bull (stock market speculator)

bullbullish
A bull is a stock market speculator who buys a holding in a stock in the expectation that in the very short-term it will rise in value whereupon they will sell the stock to make a quick profit on the transaction.

Day trading

day traderintradayday-trading
Day trading is speculation in securities, specifically buying and selling financial instruments within the same trading day, such that all positions are closed before the market closes for the trading day.

Short (finance)

short sellingshortshorting
Shorting may act as a "canary in a coal mine" to stop unsustainable practices earlier and thus reduce damages and forming market bubbles.
Speculators may sell short hoping to realize a profit on an instrument that appears overvalued, just as long investors or speculators hope to profit from a rise in the price of an instrument that appears undervalued.

Stock trader

equity investmentstock tradingequity trading
Stock traders may be an agent, hedger, arbitrageur, speculator, stockbroker.

Speculative attack

speculative attacksspeculationunprincipled gambling
In economics, a speculative attack is a precipitous selling of untrustworthy assets by previously inactive speculators and the corresponding acquisition of some valuable assets (currencies, gold, emission permits, commodities, remaining quotas).

Food speculation

food for speculationspeculatingspeculation
Food speculation by global players like banks, hedge funds or pension funds is alleged to cause price swings in staple foods such as wheat, maize and soy - even though too large price swings in an idealized economy are theoretically ruled out: Adam Smith in 1776 reasoned that the only way to make money from commodities trading is by buying low and selling high, which has the effect of smoothing out price swings and mitigating shortages.

Jesse Lauriston Livermore

Jesse Livermore
He brought $1,000 home to his mother, who disapproved of his "gambling"; he countered that he was not gambling, but "speculating".

Seasonal spread trading

Seasonal tradersfutures spreads
Speculators hope to profit from the relative changes in price between the initial and offsetting positions.

Currency crisis

balance of payments crisiscurrency crisescurrency

Commodity

commoditiescommodity pricescommodity good
Speculation is the purchase of an asset (a commodity, goods, or real estate) with the hope that it will become more valuable in the near future.

Goods

goodeconomic goodcommodity
Speculation is the purchase of an asset (a commodity, goods, or real estate) with the hope that it will become more valuable in the near future.

Real estate

real-estateluxury real estateland
Speculators are particularly common in the markets for stocks, bonds, commodity futures, currencies, fine art, collectibles, real estate, and derivatives. Speculation is the purchase of an asset (a commodity, goods, or real estate) with the hope that it will become more valuable in the near future.

Market value

carrying valuemarketmarket cap
In finance, speculation is also the practice of engaging in risky financial transactions in an attempt to profit from short term fluctuations in the market value of a tradable financial instrument—rather than attempting to profit from the underlying financial attributes embodied in the instrument such as capital gains, dividends, or interest.

Financial instrument

financial instrumentsinstrumentinstruments
In finance, speculation is also the practice of engaging in risky financial transactions in an attempt to profit from short term fluctuations in the market value of a tradable financial instrument—rather than attempting to profit from the underlying financial attributes embodied in the instrument such as capital gains, dividends, or interest.