Stock Market

The stock market is a collection of markets where shares of publicly traded companies are bought and sold. It serves as a platform for investors to trade stocks, which represent ownership interests in these companies. The stock market is crucial for providing companies with access to capital in exchange for giving investors a slice of ownership in the business. It facilitates the exchange of securities and includes various exchanges, such as the New York Stock Exchange (NYSE) and the Nasdaq.

Stock prices in the market fluctuate based on supply and demand dynamics, influenced by factors such as company performance, economic indicators, investor sentiment, and broader market conditions. Besides stocks, the stock market can also include other investment vehicles, like exchange-traded funds (ETFs) and derivatives. Overall, it plays a vital role in the economy by enabling capital formation and investment opportunities for individuals and institutions.