Stock Market

The stock market is a collection of markets and exchanges where activities related to the buying, selling, and issuance of shares of publicly traded companies take place. It serves as a platform for companies to raise capital by issuing shares to investors, who can buy and sell these shares as a means of investment. The stock market is characterized by its two main components: primary markets, where new stock issues are sold to investors, and secondary markets, where existing shares are traded among investors.

Stock prices fluctuate based on supply and demand dynamics, investor sentiment, economic indicators, and various external factors influencing company performance. The stock market plays a critical role in the economy by facilitating capital allocation, providing liquidity to investors, and serving as an indicator of economic health. It encompasses various exchanges, such as the New York Stock Exchange (NYSE) and the Nasdaq, where stocks are listed and traded. Overall, the stock market is vital for investment opportunities, corporate growth, and economic development.