This quick clip will explain the stock market in terms that anyone can understand. Understanding the market is important for everyone. You don’t need to be rich to be in it, or understand how it impacts your life.
Think of it like a temperature gauge, but for the financial health of the country. More money for the whole country means a better life for you and your community.
For investors, the stock market works like an auction where buyers place bids and sellers offer asking prices for shares of stock. When the bid equals the ask, a trade occurs.
The difference between what buyers are willing to pay and sellers are willing to accept is called the bid-ask spread. Check out more below.
