Cornering the Market

Cornering the market refers to a strategy in which an individual or entity gains control of a significant portion of a commodity or security, enabling them to manipulate prices by restricting supply. By controlling a large share of the available supply, the entity can drive prices higher or create artificial shortages. Cornering the market is illegal in many countries due to its potential to distort markets and harm competition.

Example

An investor buys up a large portion of the available silver supply, limiting availability to others and driving up the price, profiting from the artificially high prices.