Stock Market

The stock market is a collection of markets and exchanges where activities such as buying, selling, and issuing shares of publicly traded companies occur. It serves as a platform for investors to trade equity securities and is an essential component of the global economy. The stock market allows companies to raise capital by offering shares to the public, while investors can participate in the growth and profitability of these companies through stock ownership. Prices of stocks are determined by supply and demand dynamics, influenced by various factors including economic indicators, company performance, and investor sentiment. The stock market plays a critical role in facilitating capital formation and providing liquidity to investors. It includes a range of market segments, such as primary markets (where new issues are sold) and secondary markets (where existing shares are traded), and is typically associated with major exchanges like the New York Stock Exchange (NYSE) and the Nasdaq.