GLOSSARY ENTRY (DERIVED FROM QUESTION BELOW) | ||||||
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15:31 Nov 1, 2007 |
Romanian to English translations [PRO] Bus/Financial - Finance (general) / managementul riscului bancar | |||||||
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| Selected response from: Mihaela Ghiuzeli Local time: 07:02 | ||||||
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1 +3 | stock spread and daily volatility / |
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stock spread and daily volatility / Explanation: http://invest-faq.com/cbc/trade-bid-offer.html No context at all. -------------------------------------------------- Note added at 53 mins (2007-11-01 16:25:23 GMT) -------------------------------------------------- Subject: Trading - Bid, Offer, and Spread Last-Revised: 1 Feb 1998 Contributed-By: Chris Lott (contact me), John Schott (jschott at voicenet.com) If you want to buy or sell a stock or other security on the open market, you normally trade via agents on the market scene who specialize in that particular security. These people stand ready to sell you a security for some asking price (the "offer") if you would like to buy it. Or, if you own the security already and would like to sell it, they will buy the security from you for some price (the "bid"). The difference between the bid and offer is called the spread. Stocks that are heavily traded tend to have very narrow spreads (as little as a penny), but stocks that are lightly traded can have spreads that are significant, even as high as several dollars. So why is there a spread? The short answer is "profit." The long answer goes to the heart of modern markets, namely the question of liquidity. -------------------------------------------------- Note added at 1 day7 hrs (2007-11-02 23:13:53 GMT) -------------------------------------------------- http://www.allbusiness.com/finance-insurance/543041-1.html Nina, I would use "dispersion and daily volatility" |
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