HOW DOES THE LAW OF SUPPY AND DEMAND AFFECT STOCK MARKET

The law of supply and demand is a theory that seeks to explain the relationship between the availability and desire for a product, such as a security, and its price. The law affects the stock market by determining the prices of the individual stocks that make up the market.The major factors that impact the demand for stocks are economic data, interest rates, and corporate results. Thus from this article we learn that there is not just demand and supply of a product but also for stocks which increase demand when economy is performing better and vice versa.

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