What is the Stock Market?

https://encrypted-tbn1.gstatic.com/images?q=tbn:ANd9GcRLYnPosKtyMl-jNn5oFxXblxCYPqQHjElxzQo4oXbmzaQL1s1WvwGenerally speaking the Stock Market refers to equities where actually stocks and derivatives are traded. In the U.S.A. we think the Stock Market is New York City. In fact there are major Stock Markets in Hong Kong, Hamburg, London, Paris, Canada, Japan and others that influence one another and impact the world Stock Market.

The New York Stock Exchange (NYSE) may have stocks listed that are listed on other major Stock Markets. A company headquartered in Amsterdam may be listed on multiple stock exchanges. Many foreign organized companies are listed on the NYSE. There is tremendous value for foreign companies to be listed in the USA. The exposure and knowledge of a foreign company has a face on the New York Stock Market. An example would be a China stock Baidu. These information and search technology company has grown in leaps and bounds since it was introduced on the New York Market. Sometimes all it takes is making a good impression to stock analysts and a good review by key people to give the foreign company a boost. Continue reading