Money Matters: What makes stock prices move?
Ever wondered why stock prices rise and fall? On this week’s Money Matters Monday, I sat down with financial expert Barry Bigelow, to break down the technical forces behind stock market moves, and it all starts with one classic concept: supply and demand.
“As prices go up, more people are willing to sell, which is supply. And as prices go up, fewer people want to buy, that’s demand, “Barry explained.
Beyond the basics, Barry highlighted how big-picture numbers like earnings and revenue can shift the entire market.
“When earnings and revenue go up, demand tends to go up. That drives prices up,” he said.
The conversation also touched on how algorithms have sped up market reactions, and why it’s more important than ever to have a financial plan, especially when nearing retirement.
Bigelow’s main message: Markets move fast, but you don’t have to.
Stay tuned for part two next week, when we dive deeper into understanding what drives stock prices!