The source of market liquidity?

[Oscar_0]

Big banks and corporate giants are the liquidity providers in the market and brokers work as intermediary in the market. Is it right?

 

[Sneha Rajan]

The primary source of market liquidity is the constant buying and selling of assets by market participants such as individuals, institutions, and traders. This activity ensures there are enough willing buyers and sellers at any given time, facilitating smooth transactions and price discovery. Additionally, central banks and other financial institutions can provide liquidity through interventions like open market operations and emergency lending facilities.