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A financial market is a market in which people and entities can trade financial securities,commodities, and other fungible items of value at low transcript cost and at prices that reflect supply and demand. Securities include stocks and bonds, and commodities include precious metals or agricultural goods that's why the financial market is very important for the health of economy in many ways for example it help to develop and motivate the new ideas of the new comers in the business because business is the most effective way to develop the economy.

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11y ago
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Ermiyas Birhanu

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2y ago
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11y ago

The stock market is a symbol of the nations economy and strength. A country whose Stock Market is sound and going up is considered to be in great economic status.

Since the stock market comprises of the shares of the largest and most successful companies in the country its considered the indicator for the nations economy and industrial production.

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11y ago

Answer 1: TThe stock marketkeeps economy moving, without stock parkert we would not have our everyday needs to survive, and would not have wants (toys/fun) the stock market provides our nessities.

Answer 2: The stock market, like a farmers market, provides a central place where sellers and buyers interact.

Without it, companies wishing to raise money throught the sale of stocks would have a difficult time finding buyers - and individuals or companies wishing to invest in other companies would have limited selection.

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11y ago

It's important since it is representative of whether the stock market is rising or falling. Most people have some of their investments in stock, thus, this metric impacts the amount of money they will have for retirement or other purposes. Notwithstanding, if someone's investment horizon is long-term (meaning he/she doesn't need the money anytimr soon) he/she need not be concerned with daily or short term fluctuations in the stock index.

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10y ago

Stock investments are important because they allow you to become a part owner in a company. Therefore when the company does well, your stock does well and makes you more money. Historically it is one of the more profitable means of investing money.

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10y ago

Call on 0761 6063444 for expert advice -

anything related to Stock Market

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