What is the Stock Market?

The stock market, also known as the equity market or capital markets, is a platform where publicly traded companies are bought and sold. It's a place where individuals, institutions, and organizations can invest in stocks, bonds, and other securities.

Types of Stocks

There are two main types of stocks: common stock and preferred stock. Common stock gives shareholders voting rights and the potential for dividends. Preferred stock has a higher claim on assets and dividend payments.

Stock Market Indices

The S&P 500, Dow Jones Industrial Average (DJIA), and NASDAQ are some of the most widely followed stock market indices. These indices track the performance of a basket of stocks in each index.