Check Out: 10 Valuable Stocks That Could Be the Next Apple or Amazon “There’s no standard buying power definition; instead, ...

Purchasing power is the value of a currency in real terms—based on the goods and services each unit can be exchanged for. Remember when you could buy two Mcdonald's Big Macs with a $5 bill in 2000?

A decline of 10% will mean a 20% loss. For day traders, the purchasing power gains and losses are multiplied by four. Stock brokerage margin accounts provide loans to investors so that they can ...