The process whereby an underwriting syndicate steps in to buy back securities to prevent a larger price drop than that which has already occurred is called.

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Market stabilization is the process whereby an underwriting syndicate purchases securities to prevent a further decline in their price. This is done in order to prevent panic selling and maintain the stability of the market. It is a common practice in the financial industry and often occurs during initial public offerings and other securities offerings. Price normalization and dollar cost averaging refer to different concepts and are not directly related to the process of market stabilization.

The Process Whereby an Underwriting Syndicate Steps in to Buy