some difficult words from editorials , which is important and very helpful for IBPS PO/CLERK/LIC AAO/RRB & SSC CGL EXAM and other exams !!!
The Hindu: Sharp correction: on stock market volatility
Investors who expected 2018 to be yet another blockbuster year for stocks may have to temper their expectations. After a strong start to the year, since the beginning of February, stock markets around the world have witnessed a sharp correction. The U.S.’s decision to impose import tariffs on steel and aluminium was the latest development to infuse a sense of uncertainty. As of Tuesday, the Sensex and Nifty are marginally down since the beginning of the year. While the poor state of health of public sector banks has added to the pain, market breadth suggests a more broad-based decline. Notably, this correction comes after a record bull run that stocks enjoyed in 2017. While the Sensex advanced about 28% in 2017, the Nifty climbed 30%. Judging by the initial trading sessions of the Indian indices in March, markets look likely to keep investors on their feet. After the sharp correction in February, many expected Indian stocks to rebound to new highs, as in the case of previous corrections. But the Nifty and the Sensex, which traded sideways until Monday after their initial fall in February, resumed their short-term downtrend on Tuesday. Whether they will break lower to experience further correction or consolidate for a while before moving upwards is anyone’s guess. But it is no secret that investors have been willing to bid up the prices of Indian stocks far ahead of their fundamentals. Despite the absence of any strong rebound in corporate earnings, an underperforming economy and economic shocks such as demonetisation and the GST, investors have found enough reason to stay optimistic about Indian stocks. It is only natural that stock prices have begun to reflect, at least partially, the underlying risks.Going forward, the biggest challenge to stock prices will be higher interest rates as central bankers move to rein in inflation amid strengthening economic growth. The U.S. Federal Reserve is expected to reduce the size of its balance sheet by $2 trillion in the next four years as it moves to let interest rates rise. Bond yields have begun to reflect the prospect of tighter liquidity. The U.S. 10-year Treasury has almost approached the 3% mark from just around 2% in September last. Many noted bond investors have confidently proclaimed the end of the multi-decade bull market in bonds, which began in the early 1980s. The Indian bond market too has witnessed a sharp increase in yields in the last few months amid fears of faster inflation as well as the government’s worsening finances. Compared to the taper tantrum of 2013, stocks have in recent times been relatively subdued in reaction to the prospect of higher interest rates. But higher interest rates are likely to eventually dampen stock prices. All this suggests that stocks may be set to experience more volatility than in the last few years.
1. Impose (verb) : थोपना
Meaning : force (an unwelcome decision or ruling) on someone.
Synonyms : foist, force, thrust, inflict, obtrude, press, urge; informalsaddle someone with, land someone with, lumber someone with.
Antonyms : deny, frustrate, refuse, withhold.
Usage : the decision was theirs and was not imposed on them by others.
2. Rebound (verb) : प्रतिक्षेप
Meaning : recover in value, amount, or strength after a decrease or decline.
Synonyms : recover, rally, bounce back, pick up, make a recovery, make a comeback.
Antonyms : work.
Usage : sterling rebounded and closed half a pfennig higher.
3. Downtrend (noun) : गिरावट
Meaning : a downward tendency, especially in economic matters.
Synonyms : declivity,decrease,depression,descent, dip, downslide, downswing,downtrend, downturn,drop, drop-off, fall-off,hill,incline,lapse,loss, lowering,pitch, sag,slide,slip, slope,slump.
Antonyms : ascent,increase,rise.
4. Strengthening (verb) : को सुदृढ़
Meaning : make or become stronger.
Synonyms : reinforce, make stronger, buttress, brace, shore up, underpin; rareunderprop.
Antonyms : weakening.
Usage : he advises an application of fluoride to strengthen the teeth.
5. Rein (verb) : लगाम
Meaning : check or guide (a horse) by pulling on its reins.
Synonyms : bit, brake, bridle, check, curb, deterrent, governor, halter, harness, hold, line, restriction, strap.
Antonyms : free, let go.
Usage : he reined in his horse and waited.
6. Prospect (noun) : आशा
Meaning : the possibility or likelihood of some future event occurring.
Synonyms : likelihood, hope, expectation, anticipation, (good/poor) chance, chances, odds, probability, possibility, likeliness, promise, lookout; dream; fear, danger, hazard.
Antonyms : miss, overlook.
Usage : there was no prospect of a reconciliation.
7. Proclaimed (verb) : घोषित
Meaning : indicate clearly.
Synonyms : demonstrate, indicate, show, signify, reveal, testify to, manifest, betray.
Antonyms : conceal, hide.
Usage : his high, intelligent forehead proclaimed a strength of mind that was almost tangible.
8. Subdued (adjective) : मातहत
Meaning : (of a person or their manner) quiet and rather reflective or depressed.
Synonyms : gentle, hushed, low-key, muffled, quiet, soft.
Antonyms : aroused, boisterous, communicative, excited, roused, talkative, uncontrolled
Usage – Lewis’s subdued air had changed to one of high good humour.
9. Prospect (noun) : आशा
Meaning : the possibility or likelihood of some future event occurring.
Synonyms : likelihood, hope, expectation, anticipation, (good/poor) chance, chances, odds, probability, possibility, likeliness, promise, lookout; dream; fear, danger, hazard.
Antonyms : miss, overlook.
Usage : there was no prospect of a reconciliation.
10. Volatility (Noun) : अस्थिरता
Meaning : liability to change rapidly and unpredictably, especially for the worse.
Synonyms : dryness, vaporization, vaporousness.
Antonyms : dullness, flatness.
Usage : the succession of new rulers contributed to the volatility of the situation.
