Cornering refers to a situation where an investor or trader has a large position in one particular market, which can be either a physical commodity or financial instrument. This means that they have invested a significant amount of money into this asset class and are heavily reliant on its performance for their potential returns.
In the context of trading, cornering refers to an attempt by a trader or group of traders to manipulate the market price of a particular commodity or financial instrument through buying up large quantities in order to drive up the cost. This can be done with the intention of making a profit from selling once the price has been driven up, but it also carries significant risk as prices may not continue to rise and could instead plummet.
In summary, cornering refers to having a large position or influence in one particular market, which can either lead to potential profits if managed correctly or significant losses if manipulation attempts fail.