Hey guys.
I'm baffled by the workings of the stock market. I've no idea HOW it works, and every description I find seems to go on for fifty-odd pages and use words that don't exist in most dictionaries.
Could anybody explain, concisely, how the Stock Market works?
Thanks, chums.
How the [b]cock[/b] does the stock market work?
That's new
It's the raffle for the exclusive club you will never be in.
But in appearance it's the buying and selling of stock or "ownership". Lets say you think best buy is going to worth more in 2 years. So you buy a percentage of ownership of the company for 12 dollars at a share. So two years roll by and best buy is worth more money so there shares are worth 14 dollars. So you sell back to the market your shares for 14$ and in total make 2$ in profit per share. But if Best Buy losses value you could sell them for say 10$ and get some of your money back. Or ride it out and hope the share is worth more later on.
TLDR: you spend money and maybe get more or even none of it back.
[QUOTE=redwinterwol;21604330]It's the raffle for the exclusive club you will never be in.
But in appearance it's the buying and selling of stock or "ownership". Lets say you think best buy is going to worth more in 2 years. So you buy a percentage of ownership of the company for 12 dollars at a share. So two years roll by and best buy is worth more money so there shares are worth 14 dollars. So you sell back to the market your shares for 14$ and in total make 2$ in profit per share. But if Best Buy losses value you could sell them for say 10$ and get some of your money back. Or ride it out and hope the share is worth more later on.
TLDR: you spend money and maybe get more or even none of it back.[/QUOTE]
This sums it up pretty well, actually.
Considering the Wall Street Debt Clock ran out of digits, now might not be the best time for stocks.
[img]http://www.newsrealblog.com/wp-content/uploads/2010/02/debt-clock-genthumb.jpg[/img]
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