He has a day BSE Sensex 30It closed lower on Tuesday, July 12 0.94%Until then 53,886.61 points. The BSE Sensex 30 He scored the maximum 54,236.49 points And at the very least 53,824.97 points. Trading limit for this BSE Sensex 30 It was between its highest point and its lowest point (maximum-minimum) on this day 0.76%.
Considering the last week, the BSE Sensex 30 indicates an increase 1.42% And in the last year it is still maintaining high 1.57%. The BSE Sensex 30 stands a 12.11% Highest this year (61,308.91 points) and A 4.92% Above its lowest estimate so far this year (51,360.42 points).
Stock Market Indices… Why?
A stock index An indicator that measures the evolution of the value of a set of assetsIt collects data from different companies or sectors of a part of the market.
These indicators are mainly used by stock markets of countries Each of them can be aggregated by entities with specific characteristics Some indices consider only a few stocks to determine their value, such as those with similar market capitalization or belonging to the same type of industry, or there are some indices that consider hundreds of stocks.
Stock market indices are active An indicator of confidence in the stock market, business confidence, the health of the national and global economy, and the performance of investments in stocks and shares of the company. If investors lack confidence, equity costs will fall.
They also work to scale Performance of an asset manager And they allow investors to make trade-offs between return and risk; Measuring financial asset prospects or building portfolios.
These types of indicators began to be used at the end of the 19th century Journalist Charles H. Dow. He looked closely at how company stocks moved up or down together, so he created two indexes: one to 20 railroad companies (the largest industry at the time), as well as 12 other types of operating businesses.
Currently there are various indices in our economy Grouping can be based on geography, sectors, company size or asset typeFor example, the US Nasdaq index is composed of the 100 largest technology-related companies such as Apple (AAPL), Microsoft (MSFT), Amazon (AMZN), Facebook (FB), Alphabet (GOOG), and Tesla (TSLA). , Nvidia (NVDA), PayPal (PYPL), Comcast (CMCSA), Adobe (ADPE).
How is a stock index measured?
Each stock index has its own calculation method, but the key factor is the market capitalization of each company that integrates it. It is obtained by multiplying the day’s value of the security in the relevant stock market by the total number of shares outstanding in the market.
Companies listed on stock exchange are mandatory Present the balance Its composition. This report should be provided every three or six months as appropriate.
Reading a stock index involves taking into account its changes over time. Current indices are always opened with fixed value based on security prices on your start date, but not everyone follows this pattern. So, it can be misleading.
If one index grows by 500 points in a day while the other gains only 20 points, the first index may appear to have performed better. However, if the former starts at 30,000 points and the other at 300 points, then on a percentage basis, the gains for the latter can be calculated to be substantial.
These are major stock indices
between Major US stock indices There is the Dow Jones Industrial Average Dow Jones, made up of 30 companies. Similarly, the S&P 500, which includes the 500 largest companies listed on the New York Stock Exchange. Lastly, don’t forget Nasdaq 100It brings together 100 largest non-financial corporations.
On the other hand, very important codes Europe is Eurostax 50, which includes the 50 largest companies in the Eurozone. In addition, the DAX 30, the main German index with the strongest companies on the Frankfurt Stock Exchange; The FTSE100 From the London Stock Exchange; The ACC 40 of the Paris Stock Exchange; And this IBEX 35of the Spanish Stock Exchange.
In AsiaWe have Nikki 225The Tokyo Stock Exchange consists of 225 major companies. There is more SSE Composite Index, considered China’s forerunner of the most prominent companies on the Shanghai Stock Exchange. Same role played Hang Cheung Index in Hong Kong and Cosby In South Korea.
talking about Latin AmericaYou have CBIIt contains The 35 most consolidated companies of the Mexican Stock Exchange (BMV).. At least a third of them are part of boss Carlos Slim’s estate.
The other is Bovespa, made up of the 50 most important companies on the São Paulo stock market; The merval From Argentina; The IPSA From Chile; The MSCI COLCAP From Colombia; The IPC Made up of 6 companies from Caracas, Venezuela.
Finally, there are other categories such as global stock indices MSCI Latin AmericaIncludes 137 of the most important companies in Brazil, Chile, Colombia, Mexico and Peru.
Similarly, there is MSCI World, which includes 1,600 companies from 23 developed countries; The MSCI Emerging Markets, made up of more than 800 companies from developing countries; And this S&P Global 100Made up of the 100 most powerful multinational corporations on the planet.
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