How does the stock market work?

The stock market is a platform where publicly traded companies sell their shares to investors, who can then buy and sell those shares. When you buy a share of stock, you become a partial owner of that company, and you have a claim on a portion of its assets and earnings. The value of your investment will rise or fall based on the performance of the company, market conditions, and a variety of other factors.

Stock prices are determined by supply and demand. If a company is performing well and there is high demand for its stock, the price will typically rise. If a company is struggling or there is a lack of demand for its stock, the price will typically fall. In addition to buying and selling individual stocks, investors can also invest in exchange-traded funds (ETFs), which are baskets of stocks that can provide exposure to a specific sector or index.

The stock market can be complex and volatile, and it's important to do your research and consult with a financial advisor before making any investment decisions. Factors that can impact the stock market include economic indicators, geopolitical events, and company news and announcements.