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Market priceThe price at which a market clears.Market priceThe price for a security. As far as stocks are concerned, there is not one market price but two:the bid price - the price at which you can sell shares which you ownthe offer price - the price at which you can buy sharesOn the London markets, prices for most shares are quoted by market makers who act as 'wholesalers', and are flashed up on brokers' SEAQ screens. The quote will also show the maximum order size at which the market- maker is prepared to deal at the prices quoted (known as 'normal market size'). The difference between the bid and offer price is called the spread and is the source of the market maker's profit.Prices for the largest companies are quoted on the Stock Exchange Electronic Trading Service (SETS) which matches sellers and buyers directly and does without the need for market makers. The spread on these companies is normally smaller.Market prices are quoted on the financial pages of most newspapers and on many websites, sometimes live, sometimes delayed by 20 minutes. In the newspapers, the price quoted is neither the bid nor the offer price, but the mid price at the time the market closed on the previous day. So if a share closed at 105-109, the mid price would be 107. On some websites the price quoted is the 'last trade' price -that is the price at which the last automated trade on the previous day was made.Market priceThe last reported price at which a security was traded on an exchange.Market price Similar MatchesCornering the marketCornering the marketPurchasing a security or commodity in such volume as to achieve control over its price. An illegal practice. Financial marketFinancial marketA market for a financial instrument, in which buyers and sellers find each other and create or exchange financial assets. Sometimes these are organized in a particular place and/or institution, but often they exist more broadly through communication among dispersed buyers and sellers, including banks, over long distances. Overlap the marketOverlap the marketUsed in the context of general equities. Create a crossed market by expressing a willingness to sell on the bid side of the market and buy on the offer side. Market maker to market makerMarket maker to market makerA term used by the London Stock Exchange to denote that a transaction was between two market makers registered in the security in question. This may also include those executed through an inter-dealer broker or a public display system. Common marketCommon marketAn agreement between two or more countries that permits the free movement of capital and labor as well as goods and services. Further SuggestionsMarket order go along or participatingGraveyard market Upstairs market Nasdaq stock market Mark to market Security Market Line Crossed market Auction markets Market break Miss the price or market Second market Rembrandt market Market price of risk F Fair Market Value Gray market Capital market line (CML) Foreign equity market Open market purchase operation repo market Financial supermarket Bidding through the market Market share Network Marketing Normal Market Size (NMS) Market letter |
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