What is the Stock Market?
The word “stock market” usually describes one of the most important stock market indices, like the “Dow Jones Industrial Average” or the “S&P 500”. Since it is difficult to trace each particular stock, these indices involve a portion of the “stock market” and their trends are perceived as a illustrative of the entire market.
You could see a news title that says the stock market has shifted lower, or that the stock market ended up or down for the day. Every so often, this indicates stock market indices have gone up or down, implying the stocks inside the index have either increased or dropped in value, overall. “Investors” who purchase and trade shares hoping to earn a profit by this behavior in stock values.