how does the stock market work

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The stock market is a financial marketplace that connects buyers and sellers to trade shares of public companies, allowing businesses to raise capital and investors to potentially grow their wealth. The stock market is a network of exchanges and platforms where investors buy and sell shares of publicly traded companies. It functions through two main stages: the primary market, where companies first issue shares to raise capital, and the secondary market, where investors trade existing shares among themselves. Prices are determined by supply and demand, a process known as price discovery, where buyers and sellers negotiate based on company performance, economic conditions, and market sentiment. Most trading today occurs electronically through brokerage accounts, which act as intermediaries between individual investors and the exchanges.

how does the stock market work

The stock market is a financial marketplace that connects buyers and sellers to trade shares of public companies, allowing businesses to raise capital and investors to potentially grow their wealth.

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