what causes a bid ask spread to be high 
bid ask spread also known as spread can be high due to a number of factors first liquidity plays a primary role when there is a significant amount of liquidity in a given market for a security the spread will be tighter stocks that are traded heavily such as google apple and microsoft will have a smaller bid ask spread conversely a bid ask spread may be high to unknown or unpopular securities on a given day these could include small cap stocks which may have lower trading volumes and a lower level of demand among investors 