Why grey market is called grey?

The dealing in shares before actual listing of the same is resorted to mainly in Gujrat %26amp; its sale price is usually reffered as grey market price or rate in grey market.Normally when a thing is sold at a higher rate than its official price it is called as black market.,whereas such trading in respect of shares is called grey market price.|||Because all their dealings are not black and white but in shades of Grey|||I think you have answered your own question there. You have the official market, and then an unofficial market which is not really defined but not illegal. Basically anyone can make a market in anything. Normally just before an IPO is officially listed there may be dealings between two parties which has always been known as the grey market. It is a bit risky especially for the seller because he cannot be 100% certain that he is going to get the stock he is selling. If it went wrong he would have to buy the shares back at the first dealing price.