eli5 why does stock value drop when stock is sold?

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if someone else has to buy your stock when you sell it, isn’t stock being bought at the same time as it being sold?

In: Economics

11 Answers

Anonymous 0 Comments

To illustrate in principle:

People line up to buy stock.
One bids $24.00
The second bids $23.99

Stock is Sold at $24.00
Now the best bid is $23.99

The market is currently willing to pay $23.99 for the stock. The price dropped.

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