THIS week the term credit crunch was added to the Oxford English Dictionary, defined as "a severe shortage of money or credit". Other odd financial phrases include:
STRONG HEADWIND A factor that acts as a barrier to economic growth. The US treasury secretary, Henry Paulson, talking about the state of the economy, said recently: "I think the oil prices are a strong headwind."
MARKET CORRECTION A delicate way of describing what is usually a drop in value (of shares or other commodities, including houses) if prices have become too high to be sustainable.
NEGATIVE TERRITORY When a share price or position in the market has gone into reverse. Put more simply, a loss. "Bear market territory" is used when traders predict that stocks are going to fall.
RIGHT-SIZING This usually just means downsizing, ie making cuts. If the boss of a company describes a plan to "right-size", redundancies are normally on the cards.
LOW-HANGING FRUIT A way to make money quickly, with
guaranteed results. Could also be described as "easy wins."
PLAIN VANILLA When a retailer offers a basic product.
DEAD CAT BOUNCE If a company's profits rise slightly after a dramatic fall (can be due to bottom-fishing – see below). The business is still probably doomed, despite the slight improvement.
BOTTOM-FISHING Opportunists coming along to snap up companies that have suffered crippling losses and are likely to go into receivership.
EMPTY SUITS Slang term used for lots of middle management who could be taken out of a company without any impact.
RECONTEXTUALISE Usually just means a company is going to go down-market.
The full article contains 275 words and appears in The Scotsman newspaper.
