The stock market is a collection of markets and exchanges where activities such as buying, selling, and issuing shares of publicly traded companies occur. It serves as a platform for companies to raise capital by selling ownership stakes (shares) to investors. In return, investors have the opportunity to profit from the company’s growth and earnings through capital gains and dividends. The stock market reflects investor sentiment and economic conditions, influencing the prices of securities and enabling price discovery. It encompasses various financial instruments, including stocks, bonds, commodities, and derivatives. Major stock markets around the world include the New York Stock Exchange (NYSE), NASDAQ, London Stock Exchange (LSE), and others. These markets can be categorized into primary markets, where new issues are sold, and secondary markets, where existing securities are traded among investors. The stock market plays a crucial role in the economy by facilitating investment, providing liquidity, and enabling companies to access funding for expansion and innovation.
The Nikkei index closed 98 points higher at 38,776, with potential shifts anticipated this week. Key economic events include U.S. consumer spending data and Tokyo's inflation figures, crucial for market…