Market price


 

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Market price

The price at which a market clears.

Market price

The 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 price

The last reported price at which a security was traded on an exchange.



Market price

Similar Matches

Cornering the market

Cornering the market

Purchasing a security or commodity in such volume as to achieve control over its price. An illegal practice.


Financial market

Financial market

A 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 market

Overlap the market

Used 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 maker

Market maker to market maker

A 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 market

Common market

An agreement between two or more countries that permits the free movement of capital and labor as well as goods and services.


Further Suggestions

Market order go along or participating
Graveyard 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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