#RiskAssetsMarketShock

A risk asset market shock occurs when sudden negative events trigger sharp sell-offs across assets like stocks, cryptocurrencies, and high-yield bonds. These shocks are often driven by unexpected interest-rate decisions, geopolitical tensions, weak economic data, or financial system stress. During such periods, investor confidence drops quickly, leading to panic selling and increased volatility. Capital typically moves out of risk assets and into safe havens such as gold, U.S. Treasuries, or cash. Liquidity tightens, correlations rise, and even strong fundamentals can be ignored. Risk asset shocks highlight the importance of diversification, disciplined risk management, and long-term perspective in volatile markets.