Hoarding

The purchase of large quantities of a commodity with the intent of pushing up the price. An investor hoping to increase the price of a commodity can do so by leveraging his or her demand for it, and buying physical inventory as well as purchasing futures contracts for that commodity. Hoarding can also take place in financial instruments like bonds.

Hoarding is basically no different than buying and keeping a commodity. However, if the investor’s intent is to corner or otherwise monopolize a commodity, then it may be considered an illegal act. In 1933, owning more than $100 worth of gold became a criminal act called hoarding, but holding/hoarding as much gold as you can afford to buy was re-legalized in 1974. Unfortunately for traders and regulators, it is not always easy to distinguish hoarding from a deliberate intent to manipulate the market.


Investment dictionary. . 2012.

Look at other dictionaries:

  • Hoarding — is the storing of food or other goods or money. Hoarding of food is a natural behaviour in certain species of animals. occurs in two forms:*Larder hoarding, the collection of large amounts of food in a single place (a larder), which usually also… …   Wikipedia

  • hoarding — hoard‧ing [ˈhɔːdɪŋ ǁ ˈhɔːr ] noun 1. [uncountable] when you collect and save large amounts of something in order to sell it later at a high price or because you think there might not be enough available in the future: • There has been an increase …   Financial and business terms

  • Hoarding — Hoard ing, n. [From OF. hourd, hourt, barrier, palisade, of German or Dutch origin; cf. D. horde hurdle, fence, G. horde, h[ u]rde; akin to E. hurdle. [root]16. See {Hurdle}.] 1. (Arch.) A screen of boards inclosing a house and materials while… …   The Collaborative International Dictionary of English

  • hoarding — [hôr′diŋ] n. [< obs. hoard, hoarding < OFr hourde < Frank * hurda, enclosure, pen: for IE base see HURDLE] Brit. 1. a temporary wooden fence around a site of building construction or repair 2. a billboard …   English World dictionary

  • hoarding — ► NOUN Brit. 1) a large board used to display advertisements. 2) a temporary board fence around a building site. ORIGIN from obsolete hoard in the same sense, probably from Old French hourd …   English terms dictionary

  • hoarding — [[t]hɔ͟ː(r)dɪŋ[/t]] hoardings N COUNT A hoarding is a very large board at the side of a road or on the side of a building, which is used for displaying advertisements and posters. [BRIT] An advertising hoarding on the platform caught her… …   English dictionary

  • hoarding — UK [ˈhɔː(r)dɪŋ] / US [ˈhɔrdɪŋ] noun [countable] Word forms hoarding : singular hoarding plural hoardings British a large board used for advertising outside …   English dictionary

  • hoarding — / hɔ:dɪŋ/ noun 1. ♦ hoarding of supplies the buying of large quantities of money or goods to keep in case of need 2. a large wooden board for posters ▪▪▪ ‘…as a result of hoarding, rice has become scarce with prices shooting up’ [Business Times… …   Marketing dictionary in english

  • hoarding — / hɔ:dɪŋ/ noun ♦ hoarding of supplies the buying of large quantities of goods to keep in case of need ▪▪▪ ‘…as a result of hoarding, rice has become scarce with prices shooting up’ [Business Times (Lagos)] …   Dictionary of banking and finance

  • Hoarding — Hoard Hoard, v. t. [imp. & p. p. {Hoarded}; p. pr. & vb. n. {Hoarding}.] [AS. hordian.] To collect and lay up; to amass and deposit in secret; to store secretly, or for the sake of keeping and accumulating; as, to hoard grain. [1913 Webster] …   The Collaborative International Dictionary of English

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