Stock Market

The stock market is a public marketplace where shares of publicly traded companies are bought and sold. It facilitates the exchange of ownership in companies, allowing investors to purchase a stake in businesses while providing companies with capital to grow and operate. The stock market consists of various exchanges, such as the New York Stock Exchange (NYSE) and NASDAQ, where stocks are listed and traded.

Investors participate in the stock market with the expectation of earning returns through price appreciation, dividends, or both. Stock prices fluctuate based on supply and demand, company performance, economic conditions, and investor sentiment. The stock market serves as an important indicator of the overall economic health and investor confidence in a country.

Additionally, the stock market operates under regulatory frameworks to ensure fair trading practices and to protect investors. It plays a critical role in the global economy by facilitating capital allocation and influencing wealth distribution. Overall, the stock market is a crucial component of the financial system, impacting individual investors, businesses, and economies worldwide.