Question

Can someone tell me why the financial market isn’t dependent on how the economy is doing?

Answer 1

According to my opinion the given statement is false.

Explanation:

• A financial market is a market in where people trade, invest money, etc.

• Economy is the state of a country or region evaluated in terms of the production and consumption of goods and services and also the supply of money.

• So there is a close relationship between financial market and economy of the country.

• Actually economy depends on the financial market

• Financial market will show the economy growth

• It encourages  savings and investment and also creates links between savers and investors

• It also facilitates the expansion of financial markets.

When the economy is down it means the financial market is equally down.