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Recent losses have been hard to stomach, but they come on the back of substantial gains. The last bull market which only ended earlier last week, started in March 2009. Since 1969, the average bear market has lasted 385 days, whilst the average bull market has lasted 1,482 days. But by June 1975 investors would have doubled whatever money was left and been back in profit.Īn extreme example, but it reminds us that bear markets are always shorter than the subsequent bull market.
![markets in turmoil markets in turmoil](https://cdn.cnn.com/cnnnext/dam/assets/140210083535-exp-emerging-markets-turmoil-sparks-central-bank-action-cnni-00002001.jpg)
The worst bear market in recent history started in August 1972 and lasted for more than 2 years, wiping 72% off British shares. We also know that, on average, it never takes long for stock markets to recover from their lowest point. Coronavirus panic has hit stocks and will potentially affect economic growth until the world finds a way to fight back. Here is what we do know: The fall in oil price, which really hit the British stock market hard, will last as long as politicians want it to. What you will want to know, and what we all want to know is, what happens next, and how long will the current crisis last? We are officially in a “bear market” – the technical term for when a stock market falls by 20% from its highest point in any given year. The combination of coronavirus panic and the spat between Saudi Arabia and Russia, hammering the oil price and stocks, has made last week the worst since the 2008 financial crisis. None of us have come through the recent turmoil unscathed. We have all seen the headlines referring to the billions wiped off stock market values, here in the UK, the USA and markets around the world. It is ok to feel unsettled, but there is no need to panic.