Stock Trading and Other Things

How does the activities of a stock exchange affect ordinary people?

Stock exchange, to the average people on the street, seems to be something so distant and detached, it's hard to link it up to their daily economic activities, don't you think?

Public Comments

1. The stock exchange affects us indirectly. It affects how much money is available for investment in creating and expanding businesses, which affects the variety and number of goods which are available to the public.

2. when rich peopel get more money, sometimes they hire some people or share.

usually not though

3. The stock exchange affects you the way any other exchange does -- grain,oil, copper, etc. It is where investors meet to buy and sell shares in public companies. If you don't own stocks directly, you probably do indirectly if you have a retirement account, insurance policy or union pension, which have some of their investments in stocks.

4. Today, at least in the U.S., millions of Americans own 401K/IRA and other retirement pension trust funds, along with mutual funds. Typically 75%-80% are invested in the market.

The stock market also influences investors increasing or decreasing their investments in U.S Treasury securities, which effect interest rates and the value of the Dollar