Definition
Shorthand for the market's mood. Risk-on means money moving toward stocks and other riskier bets. Risk-off means money moving toward safety.
The story
On a risk-on day, tech stocks rally and investors feel bold. On a risk-off day, they sell stocks and buy Treasuries, gold or the dollar. One headline about a war, a bank or a surprise data point can flip the switch.
Why markets watch it
It explains why very different markets often move together on the same day.
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Last seen in
We explain why it moves markets. What you do with it is your call. Commentary and education only. Not financial advice. All terms