The Opening Price of a Share Equals the Closing Price

question 55

True/False

The opening price of a share equals the closing price of the share the trading day before.

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Definitions:

Open Market Purchases

Transactions where a central bank buys government securities from the market to increase the money supply and stimulate economic activity.

Excess Reserves

The capital reserves held by a bank or financial institution in excess of what is required by regulators, central banks, or other governing bodies.

Recession

An interval of short-term economic slump, where commercial activities and industrial operations decline, often determined by a fall in GDP for two back-to-back quarters.

Federal Reserve Bank

The central banking system of the United States, which regulates the U.S. monetary and financial system.