When a stock price goes down, is it that many people have sold and now have that value in cash OR is it that the market just decides the stock price is now worth less collectively?

392 views

When a stock price goes down, is it that many people have sold and now have that value in cash OR is it that the market just decides the stock price is now worth less collectively?

In: 103

19 Answers

Anonymous 0 Comments

Both. When you say “the market just decides”, “the market” is “many people” and “just deciding” is based on what they are selling/buying for.

You are viewing 1 out of 19 answers, click here to view all answers.