Verbal intervention

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The term verbal intervention is a term from business that is used by participants in the stock market . It is used when an authority recognized by the market, only with words (mostly in relation to the press ), influences trading and thus price levels. Verbal interventions can trigger violent reactions in the market, which can be read from the volatility . Central bank bosses, economics and finance ministries, CEOs (of listed companies) and stock market gurus enjoy special authority among market participants . But recognized economists can also influence the market through statements.

The verbal intervention is opposed to the physical intervention . Here, real purchases and sales affect market prices.