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 occur. It serves as a platform for investors to trade ownership in these companies, which are represented by stocks. The stock market facilitates capital raising for businesses by allowing them to sell shares to investors, thereby providing them with funds for growth and operations.

Investors purchase stocks with the expectation that their value will increase over time, allowing them to sell at a profit. The stock market is also a vital indicator of economic health, reflecting investor sentiment, corporate performance, and overall economic activity. It includes major exchanges such as the New York Stock Exchange (NYSE) and the NASDAQ, where securities are listed and traded.

Overall, the stock market plays a crucial role in the economy by enabling liquidity for assets, providing investment opportunities for individuals and institutions, and contributing to price discovery for companies.