Investor Glossary-auction marketInvestor Glossary-auction marketInvestor Glossary-auction marketInvestor Glossary-auction marketInsightful stock market charts - Click here
investor
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Auction Market

The HTML to link to this page
 

An auction market is a market wherein buyers and sellers both enter simultaneous bids. Unlike a typical auction, an auction market features many buyers and sellers who transact through brokers who bid competitively for the best price. A security's price for a transaction in an auction market is determined when a buyer's "bid" price meets a seller's supply, or "ask" price. The New York Stock Exchange and Chicago Board of Trade, the US futures exchange, are examples of an auction market. However, the bond market, which is an over-the-counter market, is not an example of an auction market. In order to be considered an auction market, the market must be centrally located, and involve physical interaction between buyer and seller.



Rate this auction market definition...

Learn about investing with the Investor Glossary Term of the Day


Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.


Popular Terms: 1035 exchange, phantom income, command economy, diluted share, LIBOR, per diem, ex-dividend date, debt service coverage, cancelled check, Zero Cost Collar, dividends payable, implied volatility, 1031 exchange, labor relations, 144a, covered put, irrevocable trust, class C shares, quality assurance, liquidity ratio, annual return, deferred tax, margin rate, reverse mortgage, deferred revenue, inflation, stock market close, limit order, retained earnings, VIX, current ratio, FTSE, Key Rate Duration, balance sheet, APR, required rate of return, stock split, FICO score, 401a, minority interest, open position, real GDP, option premium, wholly-owned subsidiary, risk management, ex-dividend, in escrow, average price per share, EBITDA


Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Home | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2016 Investor Glossary - All rights reserved - Terms of Use