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Companies issue stock in exchange for money. In the past, stocks were traded in physical paper form, but now they’re traded electronically. Companies issue bonds to raise money. Bonds are loans that a company gives to investors, who then pay back the money they borrowed plus interest.What is driving the US stock market?
Stocks surged, as investors cheered the long-awaited good inflation news. But inflation remains hot — and it’s not going to just go away with the wave of a wand. The Fed is still expected to raise rates sharply in September to keep prices under control. The Nasdaq Composite bid adieu to its worst bear market in over a decade today.What is the stock market?
The stock market is made up of exchanges, such as the New York Stock Exchange and the Nasdaq. Stocks are listed on a specific exchange, which brings buyers and sellers together and acts as a market for the shares of those stocks. The exchange tracks the supply and demand — and directly related, the price — of each stock.