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Financial Markets

Financial markets are places where buyers and sellers come together to trade financial assets, such as stocks, bonds, currencies, and derivatives. These markets serve as intermediaries between those who need capital (borrowers) and those who have capital to lend (investors). They facilitate the exchange of financial assets and enable companies, governments, and individuals to raise funds and invest their savings.

Financial markets play a vital role in the global economy by helping to allocate capital efficiently, allowing for the exchange of risk, and providing a way for people to save and invest for the future. They are an important source of liquidity, helping to ensure that there is enough money available to finance new investments and economic growth.

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