market price

noun

Definition of market price

: a price actually given in current market dealings

Examples of market price in a Sentence

Recent Examples on the Web

When electricity customers are involuntarily shifted to other providers, their electricity rates increase overnight because the new rates are market prices with no incentive pricing. — L.m. Sixel, Houston Chronicle, "Breeze Energy told to stop selling electricity," 1 June 2018 While investors have fretted that stocks and credit are overvalued this year, in one market prices may be at their most balanced in years: currencies. — Mike Bird, WSJ, "Stable Dollar Keeps Global Markets From Blowout," 19 Apr. 2018 Vanadium surged to $29 a pound last month, according to Argus Media Ltd., which assesses market prices. — Rhiannon Hoyle, WSJ, "Vanadium Is Used to Strengthen Steel and China Can’t Get Enough of It," 27 Dec. 2018 Any agreement below market price for Sabic would inject less capital into the sovereign-wealth fund and likely force down Sabic’s listed shares, hurting minority shareholders, analysts say. — Rory Jones, WSJ, "Aramco Fights $70 Billion Price Tag for Saudi Chemicals Giant," 12 Sep. 2018 Among the transactions raising red flags is a September 2017 invoice presented to Venezuela’s food ministry by Group Grand for $41 million worth of powdered milk at a price of $6,950 per metric ton — more than double the market price at the time. — Joshua Goodman, The Seattle Times, "As Venezuelans go hungry, Trump targets food corruption," 24 Sep. 2018 Consumers stand to gain in Europe, where sugar prices tend to track world-market prices, and in parts of the Middle East and Canada, where sugar is imported at world prices. — Julie Wernau, WSJ, "The War on Sugar’s Biggest Casualty: Global Prices," 12 Aug. 2018 Lobster dealers say the market prices are seasonal, and that March and April always tend to be the tightest market for the crustaceans. — Janelle Nanos, BostonGlobe.com, "A $49 lobster roll? A recent shortage has lobster prices soaring.," 22 Apr. 2018 Any agreement below Sabic’s listed market price would inject less capital into the sovereign-wealth fund and likely force down Sabic’s listed shares, hurting minority shareholders, analysts say. — Rory Jones, WSJ, "Aramco Abandons Plan for Massive Corporate-Bond Sales to Fund Sabic Deal," 19 Nov. 2018

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'market price.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

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Last Updated

11 Mar 2019

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The first known use of market price was in the 15th century

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More Definitions for market price

market price

noun

Financial Definition of market price

What It Is

Market price is the price of an asset or product as determined by supply and demand.

How It Works

In the broadest sense, an item's market price lies at the point of intersection between the available supply of the good or service and market demand for it. Any shift in the supply or demand affects an item's market price. If demand is held constant, a decline in supply results in a rise in its market price and vice versa. Likewise, if supply is held constant, a rise in the demand for an item results in a rise in its market price and vice versa.

Why It Matters

The market price is the price at which a good or service is bought and sold most efficiently. However, in the real world, there is a great deal of enthusiasm for policies that impact market prices. Rent control laws in New York City, production quotas adopted by OPEC nations and trade barriers enacted by national governments are all example of policies that affect market prices in the real world.

Source: Investing Answers

market price

noun