What is a market where sellers and buyers exchange shares called?

The term that describes a market where sellers and buyers exchange shares is the stock market. In the stock market, individuals and institutions buy and sell ownership stakes in publicly traded companies through shares. This process allows investors to participate in the financial performance of these companies, profiting from increases in share prices or dividends issued by the companies.

The stock market operates through various exchanges, such as the New York Stock Exchange or NASDAQ, and involves several mechanisms and regulations to ensure fair trading practices. It is characterized by the presence of stock brokers and market makers who facilitate transactions, along with diverse trading strategies employed by participants.

In contrast, the foreign exchange market involves the exchange of different currencies, which does not pertain to shares of companies. An auction market can refer to a broader range of goods, not limited to shares, while a predictive market focuses on forecasting future events and is not directly involved in share trading. Thus, the stock market is the specific market that encompasses the exchange of shares.