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Market price |
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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 MatchesStockholm Stock MarketStockholm Stock MarketThe major securities market of Sweden. Sideways marketSideways marketSee: Horizontal price movement Accrued market discountAccrued market discountThe rise in the market value of a discount bond as it approaches maturity (when it is redeemable at par) and not because of falling market interest rates. Market interest rateMarket interest rateRates of interest paid on deposits and other investments, determined by the interaction of the supply of and demand for funds in the money market. Capital market efficiencyCapital market efficiencyThe degree to which the present asset price accurately reflects current information in the market place. See: Efficient market hypothesis. Further SuggestionsEfficient marketDiscounted in or by market Samurai market Nasdaq stock market Securities markets Checking the market Intermarket sector spread third market Thin market Marketing board emerging markets euromarkets Common market Gray market Private market value (PMV) fair market value Market order go along or participating Overlap the market secondary market Capital market imperfection Free capital markets Intermarket Surveillance Information System (ISIS) market maker cash market efficient market theory |
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