Question about the stock market.

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I'm totally new to it all and I've been reading up on how and where to invest etc but one thing I don't understand is how and why do the prices of stocks fluctuate?

Like one day a certain stock can be £100 the next £50 how did it lose half it's value in a day and where did that money go?

Sorry if this is a seriously dumb question.

[Smashed]

Thanks chaps makes a bit more sense now.