Quote:
|
does the pre market affect the actual price of the stock when the market opens
|
Yes, the premarket price is the actual price the stock opens at. This is known as after hours and pre hours trading (trading conducted after the close and before the official open).
Let's say Apple (AAPL) closes at $90 a share officially (so 4:00 PM EST). Then the company reports earnings and the stock jumps $5 the next morning and ends pre market trading at a price of $95.00, this is the price that the stock would officially open at then at 9:30 AM EST that day.
Hope that makes sense, the bottom line answer though is yes. Let us know if we can be of further assistance.
Linear Mode
