Question:

Here's a case: for every share of stock I buy, does that mean someone else has to sell one stock?

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Let's say that it is a common stock, something like SBUX or WM

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4 ANSWERS


  1. Unless the company is issuing new shares, yes. And even then, THEY are the seller.


  2. Yes.

    Thanks.

  3. Yep. That's why it's called 'trading.' Of course, some firms do issue new shares - which typically dilute the value of existing shares.

  4. Yes that is true, that is how sometimes you will notice in your brokerage report, if you bought 50 shares of IBM, instead of showing all 50 at one price; it shows 37 and 13 at the same price.  

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