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General TradingR

Risk Off

A market environment in which investors move away from risky assets like equities and cryptocurrencies toward safer investments such as government bonds, gold, and safe-haven currencies. Risk-off sentiment is driven by fear and uncertainty.

Example

Escalating tensions in the Middle East triggered a risk-off move, with the S&P 500 dropping 2%, gold surging to $2,100, and the Japanese yen strengthening against all major currencies.