Why is there a DOW and Nasdaq for example, couldn’t they all be consolidated into one?
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A stock exchange is where companies list their shares, so that people can buy and sell those shares. The two biggest stock exchanges in the USA are the NYSE (New York Stock Exchange,) and the NASDAQ (National Association of Securities Dealers Automated Quotations.)
Generally, bigger companies list on NYSE, pricing is more stable, and buyers and sellers are directly matched with each other. NASDAQ is more for up and coming companies, pricing is a bit more volatile, and people buy and sell through middle men.
DOW is not a stock exchange. When people talk about the Dow, they’re talking about the Dow Jones Industrial Average, which is just an index that tracks the price of 30 large companies that are listed either on NYSE or NASDAQ.
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