Finance Dictionary
Asked Price
Definition
The price a seller is willing to accept for a security.
Deep Dive
The asked price, also known as the offer price, represents the lowest price at which a seller is willing to sell a security, commodity, or currency. It is the price at which a potential buyer can purchase an asset immediately. This price is a critical component of the bid-ask spread, which is the difference between the highest price a buyer is willing to pay (the bid price) and the lowest price a seller is willing to accept (the asked price).
Examples & Use Cases
- 1A stock market quote displaying "Ask: $100.50," indicating that a buyer could purchase shares for $100.50 each
- 2A foreign exchange platform showing the asked price for EUR/USD as 1.1025, meaning a trader can buy one Euro for 1.1025 U.S. dollars
- 3An investor placing a market order to buy a stock, which will typically be executed at the current asked price.
Related Terms
Bid PriceBid-Ask SpreadMarket MakerSupply and Demand