Examples of core forces that can affect markets

• Financial data of a company, or companies in an index. e.g. if annual financial reports show that profit forecasts/expectations are poor, a relevant market price may go down.
• The management or structure of a company. e.g. will the death or resignation of key talent, or suspicion of a new managing director’s abilities mean the management team is no longer solid? If so, a market price may go down
• The business concept e.g. Is a newly launched, highly anticipated product going to be a big hit? If it is, the price of the company’s shares and/ or the index it is part of may go up.
• Competition e.g. is there a rival firm which is producing better goods or is likely to become more innovative in the future?
• Supply and Demand e.g. for a commodity or goods produced from a company. For example, if demand for oil is high and supplies are low, the price of oil may go up
• General economic data e.g. if the economy in Japan is declining, the price of Nikkei may go down. If interest rates go down, a market price may go up
• Sentiment and opinions of reputable businessmen or senior analysts e.g. What does the head of the world’s biggest bank think is likely to happen to markets in the US?