Definition ∞ Financial markets are platforms where buyers and sellers engage in the trade of financial assets. These markets facilitate the exchange of instruments such as stocks, bonds, commodities, and currencies. They are fundamental to capital allocation and economic activity.
Context ∞ The interplay between traditional financial markets and the burgeoning digital asset markets is a focal point of current analysis. Understanding how macroeconomic shifts, such as interest rate adjustments and inflation data, influence both asset classes is critical for assessing overall market stability and investment strategy.
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