market price

Definitions (4)
Related Terms
1. General: Unique price at which buyers and sellers agree to trade in an open market at a particular time. In formal markets (such stock exchanges) there are two market prices: the offer (selling) price which is higher, and bid (buying) price that is lower. The difference between these two price is called margin or spread.
2. Accounting: Transfer price of a good or service (traded between a subsidiary and its parent) at which the profit of the whole enterprise will be maximized.
3. Bond market: Last reported price exclusive of accrued interest, also called clean price.
4. Securities trading: Current market price as indicated by the latest recorded trade.
See also market value.

Use 'market price' in a Sentence

The two food companies agreed on a market price together and they shook hands, making the agreement final and legitimate.
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Knowing what the fair market price for a product is will let you know if the deal you are seeing is to good to be true.
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This morning I checked the market price for my stock and found that it had moved into my buy range.
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