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Financial market is an organizes institutional structure or mechanism for creating and exchanging financial assets. A financial market is a market in which people trade financial securities, commodities, and other fungible items of value at low transaction costs and at prices that reflect supply and demand. Securities include stocks and bonds,and commodities include precious metals or agricultural products. A financial market is a broad term describing any marketplace where buyers and sellers participate in the trade of assets such as equities, bonds, currencies and derivatives.