Prices of securities that are traded on the organized exchanges are determined by

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Prices of securities traded on organized exchanges are determined by a continuous auction process that reflects the sentiments of both buyers and sellers. This process involves matching supply and demand for a security at a given point in time, leading to a price equilibrium that is constantly updated as new information becomes available. The bid and ask prices, which represent the highest price a buyer is willing to pay and the lowest price a seller is willing to accept, respectively, are important components of this process. However, they are not the only factors that determine the final price of a security.

Prices of Securities That Are Traded on the Organized Exchanges